A Peak into 2022

The world has been sitting on a powder-keg of 45 trillion dollars of debt as we have never seen before. The Central Bankers have no solution and the Globalists want to crash the system to take away all their greedy mistakes for decades.  Yes, we need Bitcoin to come to the rescue but governments do not like competition and will want to create their own Cryptos and helicopter money to control everyone. We always worry that Bitcoin legislation could easily wipe it out as they did with gold in the ’30s.  The question is always timing these mega-events and we cannot live in fear like chicken-little and many people have since the mortgage crisis.  At the moment we think 2023 is more like a crash year than 2022.   This is an election year, folks.

Larger Elliott wave patterns usually keep us out of trouble and the larger pattern would still allow the S & P to reach up to 5045  and possibly that could be 2023 and then the crash of centuries would probably take the S & P back to 1000.  We do not see the economic background for this to happen.

We have to decide when this is no longer viable and that might be if 3600 on the S & P cash comes out.  Given this is an election year, the powers that be will try to save everything but world leaders across the world seem more incompetent than ever except for Putin and XI and they have big plans to shift the center of the world to China.

Wild weather cycles are not going to go away and massive flooding cycles are strong in March/April/May.   For now, the US West is in a drought and it is projected to go through June.

This will not help food production and the CRB and inflation cycles are projecting 350 which would match the 2011 CRB high.  War and violence cycles are particularly messy in March and April but even more so in July and August and again in November.   The Russia/Ukraine mess and Chinese aspiration for Taiwan and even the US continue to have us worried.  It does not take a genius to predict that Biden will not finish out his term as President and that means Harris is coming later in the year.    The Democrats are plodding to get rid of both if they have any hope of staying in power given their abysmal approval ratings and disastrous policies.  Yes, folks, blaming it on the Putin campaign is a typical distraction.  Who believes that Putin is to blame for rising oil prices that started well before the war started?

Inflation cycles continue into May 2024 but may not go away thereafter quickly as everyone is hoping.  We never like to use the word crash which implies a fall of more than 20% –and rather quickly but the long-term outlook for 2023 is not promising until the end of 2023.

 Crude oil cycles are temporarily peaking probably at 132 this spring but higher numbers will come.

LARGER PATTERN AND CYCLICAL SUMMARY JULY 9, 2019

LARGER PATTERNS AND CYCLICAL SUMMARY :    Computer models for gold the last 2 weeks had suggested 1442-4 for gold and a pullback go 1348-1360  for a 4th wave.   Bitcoin is probably done for now but once US stocks top and the next summer crisis develops the buyers will be back.  T-notes back to the 4th wave to 126.12 or 126.03 which is still needed.  We do not have to do a divergent high to 129.00 and the larger cycle suggests higher rates into January 2020 although it may not be clear during congestion this summer.  S & P needs to complete to 3040-3050 before the summer sale will set up. Silver has a chance to pullback to 1408-10 if gold gets to 1360.  Crude oil is congestive but has not completed a weekly chart sell signal and need a close under 5650.   We are open to a divergent high to 6089.

 

Cycle are particularly volatile the next few days so even if there is a negative reaction to Deutshe Bank, they may quickly buy it back.

Metals, crude look higher this week

FOR MONDAY: (11/19) The week before Thanksgiving is usually frustrating for traders. By late Monday, traders are disappearing and markets stay in useless ranges with pattern waiting to be completed. Dips on stocks will be bought for a Thanksgiving rally only to give it back early next week. Metals and crude look higher this week even if we have a Monday/Tuesday pullback here. T-notes could hold up an extra week but minimum target is close.Continue reading

Mixed grain cycles next few days

FOR MONDAY: (11/19) Cycles are mixed for the next few days with some bias toward lower action. Seasonal the market rallies before Thanksgiving and there is probably enough early winter weather to prevent any serious downward action. Weather should also support meats and they will be hard to sell now and holiday trade can get thin and we try not to trade much in the meat pits before the holidays. Any strong rallies on Mondays may quickly be taken back into Tuesday/Wednesday.Continue reading

Not enough of a definitive reversal signal for stocks

FOR FRIDAY: (11/16) Not sure anyone wants to trade after Thursday’s whippy action. Not enough of a definitive reversal signal for stocks without a close above 2750 so will see how it acts overnight. End-of-the-week congestive profit-taking may not give us new clues right away on the congestive markets like gold and silver.Continue reading

Continue to favor short stocks until next week

FOR THURSDAY: (11/15) Thursday is a better chance for a bounce for stocks but bounces have been short-lived and get sold. We will continue to favor short stocks until next week. T-notes project 119.09 and gold and silver had minor breakout but need follow-through to confirm.Continue reading

Volatility likely to increase into Friday

FOR WEDNESDAY: (11/14) Volatility likely to increase into Friday and Nov. 25, and more of it looks bearish than bullish. Crude still needs to go to 4980 at some point and the S & P to 2600. Have to see how risk/reward sets in as we come to the morning.Continue reading

Crude drags grains lower

FOR WEDNESDAY: (11/14) Grains failed as crude collapsed over 4.00 and dragged corn and beans lower. We are not seeing wildly bearish action for grains on Wednesday but if we get failed secondary highs, we may feel better about shorts for the rest of the week. Also need higher numbers for cattle and feeders if we are to get a better risk/reward.Continue reading