The Coming Stock Market Crash!

Cycle Trend

The Coming Stock Market Crash.

Equity markets were lower today as longer-term Interest Rates continued higher. Bitcoin fell several percentage points on Monday, mirroring the drop in technology stocks. I have a bearish target at $28,000 for Bitcoin.

Oil Prices are down 27 % from its highs. Bonds are now in a Selling Climax. Historically, high Commodity prices and Interest Rates will slow down the Economy. This would normally cause long term Interest Rates to drop, even with the FED tightening.

At the close of the US Equity Markets, on April 11th, 2022, Our Proprietary Risk Model and Our Proprietary Trend Model went negative together. This is the worst combination of joint signals that can be generated.

The stock market is even more dangerous to any other point in time since 2009. It is due to the “financially engineered” artificially ultra-low interest rates. As rates begin to increase into the realm of reality, I think we’re going to experience more economic damage than at any other point in time of The United States.

if you do not have discretionary capital and are inexperienced in volatile markets, I suggest that you stay in cash. Maintaining your cash/capital in your bank accounts during this great correction is the safest path to take currently. When public and private debts are combined, it is 370% of GDP.

It is off the charts compared to where a normal healthy growing stable economy.

Managing Risk is our #1 Priority