CrashTrak Update With Preliminary Targets

 

Needless to say this is highly speculative and dependent on the formation remaining active.

As I have previously noted this feels more like a long, grinding bear market than a 'crash.'

Ultimate bottoms may be much lower depending on how the Fed and especially the government react.

The tone was set in 1987 for massive intervention to rescue the financial system, if not the public.  

The policy has continued and strengthened in the last three bubble and busts.

Or it may not continue on like this at all.  

But for now it is 'in the pipe, 5 by 5.'

 

 

Stocks and Precious Metals Charts - And the Love of Most Will Grow Cold - Quad Witch Expiration

 

“It appeared that the whole world was one elaborate system, opposed to justice and kindness, and set to making cruelty and pain.  Their frail human nature was subjected to a strain greater than it was made for; the fires of greed had been lighted in their hearts, and fanned to a white heat that melted every principle and every law.”

Upton Sinclair, Oil


“A laissez-faire economic theory is maintained in an industrial era through the ignorant belief that the general welfare is best served by placing the least possible political restraints upon economic activity.  The history of the past hundred years is a refutation of the theory; but it is still maintained, or is dying a too lingering death."

Reinhold Niebuhr, Moral Man and Immoral Society, 1932


"For wherever your treasure is, there also your heart will be."

Matthew 6:21


t never really gets old, does it?  Evil that is.  It just keeps coming back, with different names and faces.  But the basic proposition remains surprisingly simple and the same. 

You cheat, you win, you cash in, and there are no consequences. 

Perhaps a stance supporting little to no regulation in the markets and in life in general might be reconsidered when one sees the abuses to which powerful insiders, aka 'market forces,' may engage. 

Some might say that history shows that this is the very reason why men and women combine to create a least some semblance of the rule of law, and not the rule of money and power.

Today was a quadruple stock option expiration in US markets. 

Stocks tried hard, but failed to hold a solid rally off the oversold condition from yesterday.

There may be more work to be done on the downside.

Gold and silver gave back some of yesterday's gains.

The Dollar rallied.

So all in all, a reversal wash and rinse for the quad option expiration.

Three day weekend.

See you on Tuesday.

Have a pleasant weekend.

 

 

Stocks and Precious Metals Charts - Buddha's Palm Descending - Toro de Fuego

 

"Our share of these great good times was zero, folks.  The upper ten percent of the population, by which we mean our country's financiers and managers and professionals, consumed the entire thing.  To be a young person in America these days is to understand instinctively the downward slope that so many of us are on."

Thomas Frank, 6 April 2017


"When the modern corporation acquires power over markets, power in the community, power over the state and power over belief, it is a political instrument, different in degree but not in kind from the state itself.  To hold otherwise — to deny the political character of the modern corporation — is not merely to avoid the reality.  It is to disguise the reality.  The victims of that disguise are those we instruct in error."

John Kenneth Galbraith


"Hot money seeks out the conscious mispricing of risk.  Capital, in the form of both money and personal talent, increasingly flows into malinvestment and the gaming of markets.   The productive economy languishes, left wanting for the lack of creative resources and attention.  The bubble rises to unsustainable valuations— and fails, and a nation's capital is consumed. 

The next five years are not about winning, but surviving."

Jesse, The Men Who Sold the World, 5 August 2019


“Reality denied comes back to haunt.”

Philip K. Dick, Flow My Tears, the Policeman Said

 

Today was not constructive for the bullish case.

But tomorrow is another day.

And another stock index option expiration.

The Dollar fell off its perch.

Gold and silver soared.

We are heading into a three day weekend.

Have a pleasant evening.