The Fall Stock Market Crash 2017/08/31
Keeping markets rising is a political agenda. All of the knowledge in the world with respect to fundamental analysis, technical analysis or economics is of any use at all.
Political analysis is not good for timing so I don’t have a plan for myself or anyone else to make a profit trading. Although I have been trading stocks since 1968, I am basically on the sidelines. When government sets the level of asset prices, nothing I know makes any difference except the certainty that the economy and the markets will eventually be destroyed.
This is what will happen between now and year end. Without intervention, stock would have fallen considerably by now. Considerable resources were expended goosing the market up to this point.
Short sellers are needed for squeezing. Expect all kinds of bearish articles. They will be factual and persuasive in every way. However since prices are being managed politically, all that will occur will be short squeezes and other central bank support. Central banks are more than pleased to sop up any excess supply. We are entering what is seasonally, the strongest time of the year. The deep state manipulators will not let the market drop into year end.
All money is not the same. Good money is always rooted in work. Work creates the need for money. When money, unrelated to work, is created by government, the purpose is to manage the behavior of folks whose money comes from work performed. Unearned money is unlimited in amount and will be used to rig financial markets as long is the political arena is conducive to doing that. Count on every resource government has access to, to be used to elevate stock prices. Elevating stock prices is the primary business of the deep state. The quickest and surest way to unfathomable wealth and income is to dictate government policy. Nothing need be produced or marketed. Make it government’s policy to goose stock prices. That is the ticket.
As long as volume remains low, elevating the stock market is very easy. Volume will be light. Sometime before closer to the end of October or early November, look for a news announcement that will be so good Americans won’t be able to stand it. This will happen after the entire world is completely beared up.
Each day, trading patterns will make it look as if the huge sell off is just around the corner. Anything that weakens will be brought back up with low volume and a little ratcheting every day. It will be close to impossible to put together a portfolio of shorts. There are algorithms to prevent any combination of shorts from having a profitable outcome. An important element of manipulation is to prevent follow through in any bearish position where there may be any profit. If bears were to hold profitable positions they could pile on and drive the market down faster than it could be controlled.
Why the good news? An attempt will be made to create a strong uptrend going into 2018. The news must be game changing. Something will be found or fabricated.
Just expect more central bank intervention. When there is an event or reason detrimental to stock prices, central banks will buy more. When will central banks quit supporting the stock market? They never will unless they are forced to stop.
The economy is being destroyed. In just a little time, it will not be possible to report positive GDP growth. The United States is no longer functioning as a republic. Things are changing politically. One of two things will happen. The government will fall apart or the economy will go into a vicious tail spin. Both will probably occur. One can cause the other. These things could happen on any day. They haven’t happened yet. When they do happen, the financial markets will fall apart.
The public is still not aware of the degree to which they are being fleeced. Federal Reserve policy is not a normal topic for household conversation.