Saturday, May 24, 2008
Hyperinflation, Dow, & US debt
DOW & US debt with hyperinflation
Previously I commented on the LT cycles and phi dates and turned bearish when markets are showing continued hyperinflation signs in addition to the derivative bubble after ARM crisis/R.E. bear market. In addition, we have geopolitical uncertainty and presidential election uncertainty including conspiracy theories.
As noted before, 2008 is not likely a bullish presidential election cycle as in 2004 after the "Aug 2004" bottom or as in 2006 after"Jul-Jul 2006" low rallying to EOY. Before oil hyperventilating price projections, the Jan-Mar 2008 low was potentially the low for the year, but I do not think that it is the case even if we have normally, in average, the presidential election year bullish cycle.
BKX is testing 2002 low even though TRAN is testing Jul 2007 high. The TRAN retest of the high is the same formation of the 1998-1999 double top formation.
I think that markets will follow BKX formation heading near to SPX 900 and DOW 9000 as I think that we are not ready to launch new bull market. (2b cont'd)
Nevertheless, markets are increasingly becoming volatile with manipulation; therefore, need to remain flexible.
The Oct 2007 reversal is the "Golden Phi" divine number reversal.
DOW 10/9/2007 high 10/10/2007 reversal
SPX 10/9/2007 high 10/11/2007 reversal
QQQQ 10/31/2007 high 11/1/2007 reversal
MI III (rabbit's foot = anti-God)/Kingdom of the Crystall skull
Many traders/investors are now informed of various conspiracy theories. Some of those theories are likely true as I think that the world finance is operated by greed, but also by divine providence. Islam is the fastest growing faith at the same time, oil is going up. (2b cont'd)
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