10/11/2018 – Another massive negative day with the Dow Jones down 546 points (-2.13%) and the Nasdaq down 93 points (-1.25%)

As we have been saying, the stock market finds itself at an incredibly important juncture. Things are about to move. If you would like to find out what happens next, based on our timing and mathematical work, in both price and time, please Click Here. 

Everyone and their day trading grandma are going hysterical over the stock market sell-off over the past few days. GOD forbid stocks ever go down, even 5-10%, right?

More so, highly leveraged bulls are in full panic mode trying to convince each other that today’s declines represents “the buying opportunity of a lifetime”. Just check this small collection of articles from today.

• Why U.S. investors should be buying this stock market pullback ‘with both arms’
• The Dow 40,000 Is Still Coming, Just Wait A Little

• Blackstone’s Byron Wien says S&P 500 on track for year-end rally to 3,000 despite stock-market wreckage

Oh My, so bullish…….why stop at 40,000….why not 100,000. 

Anyway, why is everyone freaking out? This plays a big part.

Everyone is high, dry and on margin. We talked about this before Margin Debt Horror Show Gets Even Scarier

In other words, forced liquidation.

The stock market already took out a number of important support levels. Should the sell-off continue, considering the chart above, we might witness a bloodbath unseen since the 1987 over the next few weeks.

That is exactly what we talked about in today’s update to our members. If you would like to find out what the stock market will do next, in both price and time, please Click Here 

10/10/2018 – A negative day with the Dow Jones down 831 points (-3.15%) and the Nasdaq down 315 points (-4.08%) 

What a difference a day makes.

As we have been saying, the stock market finds itself at an incredibly important juncture. Things are about to move. If you would like to find out what happens next, based on our timing and mathematical work, in both price and time, please Click Here. 

This is the main issue with Trump that we have been warning everyone about for over a year.

You can’t take FULL CREDIT for an all time high on the Dow just a few days ago and then turn around and blame the FED Chairman Powell for today’s sell-off. 

That is exactly what we talked about yesterday Trump Continues His Unprecedented Attack On “Independent” FED

Now this…….

Trump Says Fed ‘Has Gone Crazy’ Following Stock Market Selloff

President Donald Trump slammed the Federal Reserve as “crazy” for its interest-rate increases this year in comments hours after the worst U.S. stock market sell-off since February.

“The Fed is making a mistake,” he told reporters on Wednesday as he arrived in Pennsylvania for a campaign rally. “They’re so tight. I think the Fed has gone crazy.”

Trump’s latest attack on the U.S. central bank appeared to blame the Federal Reserve for a stock rout that market analysts mostly attributed to fresh concern about his trade war with China. Trump has been publicly criticizing the Fed since July for interest-rate increases and declared he was “not happy” in September when the central bank raised rates for the third time this year.

 

Trump Blames Powell: “I Think The Fed Has Gone Crazy” After Selloff

While it is unlikely that the culprit will be revealed, there is nothing that would prevent Trump from pushing the former narrative and blaming Beijing for today’s rout.

That said, there is one more person who should be rather nervous after the plunge: recall that exactly 24 hours ago Trump said that he doesn’t “like what the Fed is doing.” What better justification could Trump have to “push” Powell than to accuse him of the second worst selloff of 2018?

Indeed, as one notable fintwit member said, a little more downside in the S&P, “and Powell can start putting his coffee cups and pencils in a cardboard box.”

Then again, maybe President Trump is playing a brilliant game of 10-D Chess.

Juice the stock market to the 10th degree with tax cuts and MAGA, creating the biggest “Everything Bubble” in human history, then watch it collapse. Blame the FED, Iran, EU, Putin, Illegal Mexicans and who could forget, the Democrats for the collapse. Trump’s base will eat this up and Mr. President will get a massive landslide victory in 2020.

Checkmate. 

Having said that, if you would like to remove all of the BS above from the equation and simply concentrate on the market, we might have an answer. If you would like to find out exactly what the stock market will do next in both price and time, based on our timing and mathematical work, please Click Here

10/9/2018 – A mixed day with the Dow Jones down 56 points (-0.21%) and the Nasdaq up 2 points (+0.03%) 

The stock market finds itself at an incredibly important juncture. Things are about to move. If you would like to find out what happens next, based on our timing and mathematical work, in both price and time, please Click Here. 

President Trump is once again not happy with the FED challenging his massive “Everything Bubble” he so correctly identified during his election campaign.

Trump Says He “Doesn’t Like What The Fed Is Doing”

Some commented that this is another sly move by the president to preemptively shift blame on the Fed chair ahead of what may be a turbulent 2019 when rates are expected to keep rising, potentially resulting in a sharp slowdown in the economy and/or a stock market crash.

It appears President Trump’s 4-D Chess strategy is clear. Blame the Democrats (assuming they win in November) when, not if, the Economy collapses. And if that doesn’t work, blame the FED and their interest rate hiking campaign. Either way, blame someone and the base should eat it up, leading to a swift re-election in 2020.

Whatever, Mr. Trump’s plan is, here is what almost all observers are missing about today’s environment.

First, the FED is raising interest rates to re-load for the next recession and market bloodbath. They know what they have done, what’s coming and what they need to do now in order to soften the blow.

And should they fail to re-load, the next recession or “Everything Bubble” implosion will end the USA as we know it.

Second, as we have discussed before FED Powell Confirms – Yield Curve Inversion Imminent, it no longer matters if the actual yield curves inverts or not. The damage has already been done by flattening and it is only a matter of time before the mother of all recessions hits Mr. Trump’s perfect economy.

Our timing and mathematical work tends to confirm all of the above. If you would like to find out exactly when the stock market will crater, in both price and time, please Click Here

10/8/2018 – A mixed day with the Dow Jones up 39 points (+0.15%) and the Nasdaq down 52 points (-0.67%) 

The stock market finds itself at an incredibly important juncture. Things are about to move. If you would like to find out what happens next, based on our timing and mathematical work, in both price and time, please Click Here. 

Our work suggests trade deficit is about to collapse. Another Trump win? Yes and no, well, depends how you look at it.

Surefire Way to Reduce the Trade Deficit: Have a Recession

Trump is desperate to reduce the trade deficit. Perhaps his trade policies will do just that, via global recession. A prolonged global trade war will add fuel to a nasty global recession.

But look at the bright side. It’s a surefire way to reduce imports more than exports. The bigger the recession, the bigger Trump’s alleged “win”.

Winning? 

Perhaps. Yet, massive trade deficits are a symptom of a cancer stricken economy, not the cause. The real cause is the FED and their insane monetary policies. There are two very important things to consider here when it comes to Trump’s idiotic trade war.

First, trade deficits are great for the stock market. The bigger the deficit the better as it suggests higher levels of economic activity. The more we buy, the higher the earnings.

This has been more true in recent decades at our trade with China has exploded. Just look at the chart above. When our economy collapsed in 2008, so did our trade deficit. And while that was a ‘natural’ correcting, Trump’s attempt at deficit reduction is anything but.

Second, history teaches us that trade wars always escalate and always end bad for all involved. Often turning into hot wars when it is all said and done. Historians and economists still argue that trade wars were the primary cause of the 1929 crash and subsequent depression. Perhaps no one can explain this better than David Stockman

Once again, the real culprit behind nearly all imbalances and ailments associated with the US Economy and Financial markets is the FED.

I once supported President Trump, even voted for the guy, primary for that reason. He clearly identified the stock market bubble and the FED as the main problems with the US Economy during the primary process. Will The Plunge Protection Team Turn On President Trump Unfortunately for all of us Mr. Trump has flipped since then, transforming into some sort of a Jim Cramer want to be stock market cheerleader.

As a result, all is lost. 

President Trump is fighting the wrong war and exactly at the wrong time (stock market bubble top). And that will lead to disastrous consequences in short order.

If you would like to find out exactly when the stock market craters, based on our mathematical and timing work, please Click Here.