The job of the Federal Reserve has historically been to ‘take the punch bowl” away when the party begins to get out of control. Today the job of the Fed has proven to be the supplier of the intoxicating “liquidity” libation which keeps the market party going! The bootlegger of liquidity. The Fed however has […]
Failing Fundamentals What is it that is troubling legendary investors such as George Soros, Stanley Drunkenmiller, Sam Zell, Carl Icahn and others to be so worried about the markets and to be issuing warnings as they exit? We need to pay attention to these people who each have unbeatable track record but ’en masse’ is […]
REVISITING “M” TOPS WITHIN MEGAPHONES We believe the Intermediate “M” Top is near completion. Our expectations are for either a 6% or 12-15% correction. The signals to watch for and to know are: 1. A “Death” Crosses in the 50, 100 and 200 Daily Moving Averages (DMAs), 2. A curl in our Monthly S&P 500 […]
Since Q4 2013 we have felt the Intermediate Term Top would arrive after the June Quadruple Witch. As we got closer we tuned that prediction to after the July options expiration to align with a July 16th Bradley Turn, July 17th Phi Cluster Zone and the July 18th Options Expiration. The July 30th FOMC Meeting […]
THE RULES HAVE CHANGED – Didn’t You Get Janet Yellen’s Memo? CAN YOU HANDLE THE TRUTH? Fed Chair Janet Yellen’s cited Macroprudential Policy 29 times in her recent speech to the IMF. Not coincidentally, 8 days later newly appointed Vice-Chair Stanley Fisher laid out his experiences as Israeli Central Bank Governor in his speech implementing Macroprudential […]
In the previous article Introduction to Harmonic Elliott Wave, I discussed the basic structure of impulsive waves and the wave ratios for each section of the structure. Of course, the impulsive waves: Wave A and Wave C, have the Wave (i), Wave (iii) and Wave (v) all in 3-waves rather than 5. In this article […]
Its a Free Tax Ride for Corporations Published 07-07-14 What do corporate CEOs and Boards know which everyone is missing and that is driving them to executing corporate buybacks approximating $2 Trillion over 24 months? The answer is a free tax ride thanks to the Macroprudential Strategy of the Fed’s ongoing game of Financial Repression. […]
INTRODUCTION Elliott Wave, love it or hate it, has been around for a long time. It is generally considered a forecasting tool. But, can it forecast market movements? By that I mean precise stalling points. It’s a debate that has been around for as long as the Principle has been used and seems to […]
If you stand back from the markets, the degree of distortions we currently see is of historic proportions. Frankly, I have never seen anything like this before, including 1987, the 2000 Dotcom Bubble and the run up to the 2007 financial crisis. Corporate profits after tax are something we haven’t seen since the gilded age […]
Mispriced Risk & Credit Cracks We have talked extensively over the last few years, of the specific Moral Hazard and Unintended Consequences that has emerged as a result of what I have referred to as “Monetary Malpractice”. This is not to suggest that it is driven by incompetence, but rather it is part of an […]