Red Dragon Leo

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Red Dragon Leo

Link to Red Dragon Leo – Stock Market Trading on the Darkside

The Coming 2016 Stock Market Crash That Will Be Bigger Then 1929 Was

Posted: 21 Sep 2015 06:50 AM PDT

Date: September 20th, 2015

The recent mini-crash we had on August 24th, 2015, as forecasted in the movie Lucy on Scarlett Johansson’s passport expiration date, and told here in the previous post 2 months before the event will be just a blip when compared to what is coming in 2016.

(to watch on youtube: http://www.youtube.com/watch?v=X0AuL9f2eE0)

While I’m not positive on whether we have already topped already this year in 2015, or if we have one more slightly higher high coming in 2016, I will say with 100% confidence that we are in for another crash next year.

This coming week we have the Evil Reptilian Pope coming to visit the White House on September 22, 2015 (http://ift.tt/1KvWjab)… which I can’t see as anything positive.  This satan worshiping snake is surely making some kind of evil deal with our gangster run government leaders.  What it is, I don’t know?  But it’s clear to me that we are nearing the ending period for this stock market as when these people meet it’s never good for us sheep.  I’m not saying we are going to crash right after he meets but it’s coming soon thereafter… like within a few months.

Over in China we have their government banning shorting their stock market back in July of this year (http://ift.tt/1JV6Flq), which spells disaster in my mind.  When you don’t let traders short the market you don’t have any bears to squeeze, and that means you don’t have any way to rally a market up from a sell off except for tricking the sheep into buying, and that’s probably not possible after you scare them with a big drop.

Next to the sheep buying you have the big institutions buying the sell off, but they aren’t dumb either and won’t buy it without seeing some trapped shorts to squeeze… which of course gets the market going up big time as they all have to cover at a loss.  This is exactly how over here in America our government has keep they market up as high as it’s at now.  Without shorts in the market to squeeze you will go “no bid” and just crash… and that is precisely what’s been happening in China.  And I don’t think it’s over with yet.  When America crashes next year China will go down again.

There’s your clues in the news that tell you the stage is set to crash in 2016!

Looking at the technical picture we have the monthly chart now looking a lot like it did in 2000 and 2007 before it crashed the following year.  The rising channel lines drawn on that chart point to about the 1820 area for the lower rising blue trendline to be support if this month of September were to go down further.  So, we should expect that level to hold on a monthly close on it’s first hit of that trendline.

SP500-Montly-Chart-September-20th-2015

With the current down trendline being labeled Primary Wave 4 down by Tony Caldaro I’ll continue to refer to it that way as well since his Elliotwave count seems to be the most accurate I’ve found.  Not that I trade off of it on a day to day basis as I find it mostly helpful in seeing what’s behind us and not too predictive for the futures due to it’s many alternative wave counts.

However, on the bigger picture it’s pretty good and looking forward.  Basically we started Primary Wave 1 up from the 666 SPX low in March of 2009 and ended that wave in May, 2011 at 1370 SPX.  Then Primary Wave 2 down happened into the 1074 low in October of 2011.  Following that we had the super long Primary Wave 3 up that ended in May of 2015 at 2135 SPX.  Currently we are in Primary Wave 4 down that should end around the first week of October, 2015.

Once it ends we will be starting Primary Wave 5 up, which should last 2-6 months, and may or may not make a new all time high.  If it does make a new high then I’d expect it to last closer to 6 months and top out just above 2200 SPX.  If it doesn’t make a new high then I’d expect it to last closer to 2 months and would then be called a “truncated” Primary Wave 5… which is common and what I expect to happen.

Since I focus mostly on the technical analysis side of charting and not so much on the Elliotwave side I will say that from a TA side I don’t see any new high coming and instead think we’ll make a lower high on this Primary Wave 5 rally.  In fact, I would not be surprised if they don’t have some tricky big squeeze up for the month of October, peaking in early November for this final wave up.

That would then end the entire 5 wave series since the 2009 low and start the next cycle of waves down, that should erase 50%-80% of the entire market over the next couple of years.  Should it only be 50% or so then we will likely stop and hold around the 1050-1100 SPX area where a rising trendline of support comes in at.  It started at the 1974 low of 62, then the 1982 low of 101 SPX and connects to the 2009 low of 666 SPX.  If that fails then we will find ourselves falling to another rising trendline from the 1929-1932 Stock Market crash low that connects to the 1942 low.  That rising trendline is pointing to the low 400’s on the SPX right now.  Yeah, that’s one scary low!

Of course we’ll find support a the 2009 low of 666 first before it finally breaks and drops to the low 400’s on the SPX, but that’s too far out to predict right now.  We only know that the evil gangsters who run the world want to create their insane New World Order where we sheep are even bigger slaves (and much poorer) then we already all.  They want full control of every aspect of our lives, and crashing to the 1050-1100 SPX area doesn’t seem too me to be deep enough to get the sheep into putting chips in their head or hands for the “Mark of the Beast” as foretold in the Bible.

But crashing to the low 400’s on the SPX should would…

It would scare the sheep into giving up all their last freedoms to be saved from the severe poverty state that Satan’s minions would put them into with a stock market wipeout like that!  Naturally I don’t want to see that happen, but I can’t control it… I can only warn people that it is possible.  It’s possible from not only a charting point of view using technical analysis, but also from an “end times” model that we appear to be in right now… or at least those that rule the world think we are in.

Moving back to the short term I think we’ll have a low in the market in the first week of October of this year.  It should be a lower low then the recent 1867 SPX low on August 24th, but I’m not expecting something crazy like 1700 or so… like many others are forecasting due to the Shemitah September 28th date and the Blood Moon that happens too.  I’m thinking in the low 1800 area for that bottom into early October.

Then we rally into mid to late October, topping out early November and dropping again the rest of that month with some bottom near the end of it and then the December Santa Claus rally starts until the first of 2016.

How low we go in November is not known yet?

Since Primary Wave 5 up should take 2-6 months I’d think we don’t take out the expected Primary Wave 4 low around the low 1800’s, but some massive squeeze up to 2100 SPX in October could change my mind?  I’d rather see some steady 3 wave (ABC) pattern up to 2100 by the end of this year instead, because that would line up more inside the 2-6 months window for Primary Wave 5 up.

Doing the entire move in one month (October) would be very unusual and should then lead to a drop in November well below 1800 with the 1700’s being the target zone.  I personally don’t think that will happen though, but I did want to point it out as “possible”.  Just visit this blog post daily to see new updated comments to stay up to date.

What would make more sense to happen is some low in the 1800 area early October or late September.  Then start the A wave up for Primary Wave 5 up, that should top out mid to late October.  Then down early in November for the B wave down inside Primary Wave 5 up, which should of course make a “higher low” then the start of the A wave up.  Follow that by some C wave up in December to end the Primary Wave 5 up in early January, 2016 (or late December, 2015) that I think will hit 2100 area making a lower high then the Primary Wave 3 up all time high of 2135 in May of 2015.

While it’s possible to make a new “higher high” for Primary Wave 5 up I just don’t see it in the charts… from a technical point of view of course.  The only thing that would make me believe we could see a “higher high” for Primary Wave 5 up is for the month of September to close above 2000 SPX, and I just don’t think that will happen with the next 2 weeks being so bearish as seen in this chart below.

Weekly-Returns-For-SPX-Past-10-Years

We just had the Fed’s big September FOMC meeting where everyone expected them to raise interest rates and they announced that they wouldn’t be doing that just yet.  We sold off from that positive news, and that’s not a good sign.  If there was anything that should have been used to rally the market up to above 2100 by the end of September it would have been that good news.

Instead they did the announcement in the middle of September knowing very ware that the market would sell off after the news and drop lower into the end of the month.  If they planned to extend this stock market higher into next year they would have made sure to give out some positive news near the end of this month to close it above it’s 20 Month Moving Average… which is currently at 2000 SPX.

Here’s a post done by Amateur Investor showing what happened in the past when the market makes 2 closes below the 20 Month MA.

Weekend Analysis

(9/5/15)

As I talked about last weekend there have only be “5” times since 1900 when the following conditions have been met.

1.  Dow or S&P Composite dropped 10% in 5 Days or less.
2.  Dow and S&P Composite were within 4 months of an “All Time High”
3.  Shiller PE was 20 or above
4.  The 20 Month Moving Average was tested.

Prior to the most recent event these conditions were met in January of 2008, April of 2000, August of 1998 and October of 1929.  This month will be pivotal for the S&P 500 depending on whether it closes a 2nd Month in a row below its 20 Month Moving Average or not.

Let’s see what happened with the prior “4” events and the 20 Month Moving Average.  Starting with the last event in late 2007/early 2008 there were “2” monthly closes below the 20 Month MA in January and February of 2008.  In this case the S&P 500 rallied back to its 20 Month MA which was then followed by another significant drop (points A to B).

The next case was in 2000 as the S&P 500 closed below its 20 Month MA “2” months in a row in November and December.   Once again notice the S&P 500 rebounded back to its 20 Month MA before selling off again (points C to D).

Meanwhile in the Fall of 1998 notice the S&P 500 failed to close below its 20 Month MA in September and October although it did briefly drop below it two months in a row (point E).   This was then followed by another significant rally through the Spring of 1999 (points E to F).

Finally the last event was in the Fall of 1929 as the S&P closed below its 20 Month MA in October and November.  In this case the S&P rallied back to its 20 Month MA before another sharp sell off occurred (points F to G).

Currently the 20 Month MA in the S&P 500 is at 1999 sp this value won’t change much over the next three weeks.  Thus this will be a key level to watch by the end of the month and may have significant implications for the market in the future depending on whether the S&P 500 closes above or below it.

(Source: http://ift.tt/1OMnq5U)

Clearly you can see that odds are very low that we’ll make a higher high with Primary Wave 5 up when you have 2 monthly closes below the 20 Month MA… which I think we’ll see by the end of this month.

To summarize, I’m looking for this week and next week to go down to make a lower low (then the 1867 SPX August 24th low) to complete Primary Wave 4 down.  Then a rally into mid-late October for the first wave A up of Primary Wave 5… which should be somewhere in the 1950-2000 range I suspect.  After that we should see a B wave down (inside Primary Wave 5 up) to lure in some more bears and scare the bulls out.  This should NOT break the low of Primary Wave 4 down.  Possible targets are 1850-1900 area.  This should end in mid-late November.  Finally we should have a C wave up (inside Primary Wave 5 up) that I suspect will reach around 2100 by the end of this year.

Red

From Lindsey Williams To The Shemitah Many Signs Point To A Stock Market Crash In The Fall Of 2015

Posted: 02 Jun 2015 03:14 PM PDT

__________________________________________

July 29th, 2015 … before the FOMC meeting Update

Possible New High Coming On The SPX

(to watch on youtube: http://www.youtube.com/watch?v=NrW3R1IC6kA)

I’m losing my bearishness right now as the weekly chart is getting into oversold area where “turns” usually occur. Bears beware, we could see a new high coming soon.

July 29th, 2015 … after the FOMC meeting Update

Well, the Fed’s said nothing about a rate hike at today’s FOMC meeting.  So that rumor last week of a .35 rate increase in September was NOT confirmed yet.  I suspect the retail traders will view this as positive and buy the market now.  That tells me we will top out tomorrow or Friday instead.

I posted on the blog (in the comment section) the following after I did this newest video update…

“While I think we are “close” to having a breakout to a new high soon I just can’t get excited about going long with the VIX so low and all those bulls still onboard from the 2040 SPX area over the last several months. If SkyNet would just flush them out with some drop to 2000-2020 I’d become a bull again.

They never filled the VIX gap at 16.60 and that leaves some hope that they might just be planing another drop to get the Weekly chart oversold and then allow for a bottom to form. All the bears would pile on below 2040 and once SkyNet gets the bus full it should be plenty of fuel to squeeze them up hard like the rip from the 1820 SPX low last year in October.”

… and then this

“With the news from the FOMC today of them NOT announcing a scheduled rate hike in September as the rumor last week told us it would be .35% I have too think traders will get bullish now… and that should mean the opposite will happen and we’ll drop again.”

Finally I posted this…

“Do “NOTE” that even though the weekly chart is turning back up slightly this move up needs to happen fast… like before breaking that rising trendline on the weekly chart. If for some reason we break that support (that goes back to the 1074 SPX low in 2011) we could fall off a cliff and bury the MACD’s, Histogram Bars, and Stochastic’s on both the daily and weekly chart.”

My thoughts are simple… we are at a critical conjunction where the weekly chart can take us up to new highs with 2200 area being a real target zone, OR we can break the rising trendline of support from the 1074 SPX low in 2011 and drop like a rock.  I just don’t know which one yet?

However, with the VIX still very low and near the long time support zone of 12 or so I don’t see the bulls having the strength to power on up through the current overhead resistance right now.  That leads me to believe we are still in this choppy zone until either the downside 2040 SPX support zone breaks (and breaks the weekly support trendline) or takes out the 2135 all time high.

With that support trendline rising in price level every week now (it looks to be around 2080 now) this “zone” we are in will likely break one direction or the other this week or next week.  If we close below that 2080 area this week then next week could be an “all down week” as mutual funds and hedge funds hit the “SELL” button due to the long time weekly support line breaking.  Remember, “computer trading” looks for certain levels to hold or break and once one occurs BIG moves in one direction or the other just happens automatically.  Humans aren’t doing but about 30-40% of trading now as “algo’s” make up 60-70% of all trading according to many estimates.

CHART:

http://ift.tt/1MFRI4W

__________________________________________

… But Will It Be Accurate?

(to watch on youtube: http://www.youtube.com/watch?v=7RbAJz5nzLE)

As we all know the Elite that run the world 100% control the “Main Stream Media” (MSM) and constantly mislead the sheep that watch TV, read the newspaper or listen to the radio.  But what about the Internet?  Do they control it fully too?  NO is the answer as we sheep have the opportunity to publish our own thoughts on blogs like this or various social media outlets.  However don’t just assume that “they” are still busy spreading their “dis-information” stories throughout the Internet to dis-credit true and factual information as I’m 100% positive they are do that every day.

Remember, their entire “motto” of life is to do everything in their power to steal from you, poison you, lie to you, use you, and kill you off when you are no longer a profitable debt slave.  So you should NEVER assume that even though they are bound to tell in advance of the things they plan to do to you that they will do it in a timely manner where you can profit from it… as the opposite is true.

While I think Lindsey Williams is probably a very good man and truly wants to help people I also think his elite source gives him information that is timed to benefit the elite by “suggesting” though his leaked messages that us sheep go long gold near the top, short the dollar near the bottom and of course miss the entire move down recently in oil.

Without a doubt if you traded from his information you would go broke!

(to watch on youtube: http://www.youtube.com/watch?v=gtN5QqH6LLM)

Of course he clearly doesn’t tell you to trade from what he tells you but we all know that people will still listen to his stories and base their trading around the trend that they expect to happen from his information.  This would again result in losing you money as every thing he’s told us over the last 5+ years hasn’t been correct.  The dollar hasn’t crashed, gold hasn’t went up strongly and oil… well he claims his elite contacts never caused the sharp move down as that was apparently all done by Obama trying to push Russia president Putin.

Well, regardless of whether or not the elite crashed oil or Obama we sheep never seen it coming and didn’t profit from it… so the facts are still the same, “You can’t trade off Lindsey’s information (unless you do the opposite?)”, as it’s clearly been wrong since I’ve started to follow him.  That’s been 5-7 years now I guess.

Since I wasn’t following him when he claims to have successfully told everyone in advance of the 2004-2008 big move up in oil and the fall back down hard into the 2009 low I can’t know if that was timed out where the sheep could have profited from his information or not?  I only know that since I’ve known about him his information has been wrong.

So how do you use this information if it’s timed to get the sheep into the stock market on the wrong side when the prediction is expected to happen?

Simple really… you assume we’ll be bottoming when this September, 2015 Stock Market Crash is forecasted and looking for a shorting opportunity several months in advance of it.  When I look back at the 2011 mini-crash I notice that we had the most powerful crash wave (the wave 3 down) in August and then we had 1-2 months of a wild and crazy wave 4 up before the final wave 5 down to 1074 SPX early October low.

Clearly it was very tough to make any money on the wave 5 down as you would have be shaken out many times as the wave 4 up had so many ups and downs in it that most bears would have be puking their guts out from week to week waiting on that final leg down.  The big money (and safer wave to ride) was being short from late July, 2011 into the early August low for the wave 3 down.  This is the wave I personally want to catch (if possible?) and just pass on the expected wild ups and downs in September and October of 2015.

Past evidence on prior moves down is clearly shown in these charts of the DOW as explained in this video about “The Shemitah”…

I’ve looked a several other video’s about The Shemitah and how it points to September 13th, 2015 as being the “Elul 29” and just like this one the best.  It’s done by someone named James Trivette, a preacher I guess?  Anyway, I think it’s well worth your time to watch.

(to watch on youtube: http://www.youtube.com/watch?v=Wu6QWOWat6Q)

Sidenote: I looked up the solar eclipse years here… http://ift.tt/1IeeaTy

Eclipses in 2015
March 20: Total solar eclipse
April 4: Total lunar eclipse
September 13: Partial solar eclipse
September 28: Total lunar eclipse

Eclipses in 2016
March 9: Total solar eclipse
March 23: Penumbral lunar eclipse
September 1: Annular solar eclipse
September 16: penumbral lunar eclipse

My thoughts on this forecast again of something bad happening (like a stock market crash) in or around September 13th, 2015 are that it will be a bottoming period, so we should be looking to get short much sooner.  When you ask?  We’ll as most of you long time follows of this site know all about Legatus I’ll point out that we have a meeting this coming June 15th-17th, 2015 and coincidentally an FOMC meeting June 16th-17th as well.

That meeting is the one that many people are expecting the Fed’s to tell the market that they will be raising interest rates in September of this year.  While I don’t know if they will state that news in that meeting I do believe that if they do say it we’ll see a top in the market as traders will start bailing out long before the actual rate hike happens 3 months later.  So by the time September comes the bulk of the panic should be over with… which again leads me to believe it will be a bottoming period.

This also tells me that we should have another big “Wave 3” down (the crash wave) somewhere before that September 13th “Shemitah”date and/or September “Interest Rate Hike”.  Past history tells us that August is a bad month for the market and if you look at 2011 you’ll see that the biggest move down was indeed in August, not September.

Quite possibly we will top in mid-June and start the first waves 1 down and 2 up from there until late July where another big crash wave happens into August?  Of course it shouldn’t follow the 2011 pattern exactly as that would be too easy for us sheep to figure out… and you know “they” won’t make it easy for us to profit from.  If fact they will do everything in their power to make us lose all our money so they can take it from us as they profit wildly from the crash they created.

What about Legatus?

Upcoming-2015-Legatus-EventsIn that Legatus meeting I’m sure they will make the final decision on whether or not the “Stock Market Crash” is still on for 2015 or if they are going to push it out one more year into 2016.  I don’t know the answer of course but I do believe without a doubt that it will happen before Obama leaves office as they want to blame this whole crash on him.  He will be the “scapegoat” for the coming collapse even though it was planned many decades ago.

These elite are just a bunch of crust old white vampires that will get a kick out of setting up the first black gay American president… which is why they put him in office in the first place I’m sure.  I kind of feel sorry for him in some ways as it’s not his fault for what’s coming.  But they seem to have NO Feeling at all of compassion for other humans and will do whatever it takes to fulfill their sick agenda.

I can’t tell you the exact date of the top or the bottom (assuming the crash still happens) as I’m sure that any date I put out there will (could?) be off simply because I said it would happen.  I’m just saying that if too many people (sheep only, as the elite know the date) discover the exact day the market will top then they will be forced to change it.

I remember back in 2013 when I did several posts saying that we’d top on May 22nd, 2013 because it was right in the middle of a Legatus meeting and a ritual “33” day (http://ift.tt/1Q7G1vZ).  I told everyone about it for 2-3 months prior to it happening.  I thought it would be the top for the year, and we’d crash from there into a low later that year.  While it did top out and drop from 1687 SPX to 1560 by June 24th it wasn’t the high of the year, nor was it a crash.

I don’t know if they plans were changed or not (due to the fact that there could have been too many sheep aware of the date after I posted it?), but I’ve changed a lot since then in my charting analysis and simply post what I think is possible, but give NO promises of “it will be the top” or “we must crash”… as I now know how quickly “they” can change the plans to make us blog writers and stock market forecasters look like fools.

Therefore I’ll just point out “possibilities” with some supporting evidence that whatever date or time frame I might a forecast for “could” be accurate.   My personal trading method today is “day trading”, and I’ve do very well with this method over the last year or so… much more profitable then trying to forecast which direction the market will be going at a week or two from now.

This is one of the main reasons I don’t post as much anymore.  The other reasons are that the better I get at day trading the less information I can find out there to post on that will be correct in the near future.  There just isn’t enough “darkside information” available that is accurate.  Ritual numbers and ritual dates are too abundant to call everyone of them and expect a turn in the market.

So I just do my best to post comments on whatever the current blog post is, which are there to inform everyone of what I see short term for the market.  Then I re-post via my twitter account.  Sometimes (if I remember?) I post it on my facebook account too.

Why is Walmart closing stores around the county claims plumbing problems and then NOT filing for a plumbing permit?

There’s a lot of posts around the internet talking about the mysterious closings of all these Walmart stores for some plumbing problems and then blacking out all their store windows and hiring police officers (not security guards as most stores would) to guard the place.  Then on top of that are all these military vehicles being spotted going to these stores.  Are they planning on marshall law in the near future to put the sheep in?  If so, what event would cause this?

Walmart Closing Five Stores For ‘Plumbing Problems’

http://ift.tt/1blel4n

Military vehicles are being shipped to a closed Texas Walmart ahead of Jade Helm? (Photos)

http://ift.tt/1F4kTOK

I know we’ve seen of a lot this stuff before in the past and nothing ever became of it (at least in the “stock market crash” forecasting), but it’s still worth knowing about as at some point in the future I’m sure they will do something bad to us sheep so they can put these Walmart stores to use locking up certain people that go crazy when the economy collapses and they have no job, no home, and no food to eat.

Whether all this happens in late 2015 or they push it out until 2016 is unknown, but I firmly believe it will start before Obama leaves office.  If the Fed’s decide to announce the future interest rate hike in September, 2015 during this coming June 16th-17th FOMC meeting then we should all expect it to start this year.  If not, then possibly they decide to push it out one more year?

However, I certainly get the feeling that it will start this year… bottom in Sept/Oct and rally up into 2016 before they pull the rug out completely and slaughter this fat pig of a market.  Let’s face it… the monthly chart of the SPX looks eerily similar to the 2011 period before a nasty mini-crash happened.

What about any FP’s? (fake prints)

I don’t have any new ones (on the large scale) but I’m still thinking this old one from January 2014 “could” still be in play.  It’s one showing the NYA at 11334.65 high.

nyse daily intra1 jan7

There’s also the old TVIX FP showing 35.9599 from 11/14/2013…

TVIX FP

So not much to say on that subject.  Those prints could both be nothing as they are old and plans could have changed from then to now.  But I wanted to include them should the market put in a top in mid-June and start crashing into September as they could be targets?

I’m still not sure all the pieces are in place for the total collapse though as the ECB is still supporting their markets in Europe with their version of Quantitative Easing and isn’t scheduled to end until September of 2016 (http://ift.tt/1EwaElb).  But, that doesn’t mean we can’t get started this year here in America and have the first larger “Wave 1” down, followed by a mufti-month “Wave 2” up into mid-2016.  Then the “Super Crash Wave 3” down into the end of 2016 and probably some of 2017 could happen.

S&P 500 Monthly 2015-06-02

In both the 2000 and 2007 tops and crashes that followed we had a month chart that produced a wave 1 down and wave 2 up before their wave 3 “crash wave” down happen… therefore we should expect something similar to happen this time around as well.  That gives us a strong possibility that it will indeed start in 2015 but get worse in 2016.  So let’s keep our minds sharp and open to the fact that we do have some very good odds of a major turn down this year.

Final Clues: Has the elite already warned us of “The Crash Date”?

matrix-passportAs we go back to September of 2001 we remember the both the movie called “The Matrix”, TV show called “The Lone Gunmen” and the famous episode of “The Simpsons” where we were told in advance of something BIG happening on 9/11.  In the matrix it was shown on Neo’s expiration date that said 9/11/2001.  On the lone gunmen episode it was a hijacked plane that was on a collision course for the twin towers, and finally on the Simpsons it was the cover of a flyer that showed the twin towers in the background with a big $9 to the left of it for the cost of the pamphlet.

simpson-9-11-cover-episodeNo one but the insiders knew what that all meant as I seriously doubt it if there was one “red pill taker” sheep that seen all three (or just one or two) of those messages and figured out the meaning before it happened.  If so, he or she certainly didn’t post it on the internet for all to see (not that many would have seen it anyway as youtube wasn’t around back then).

So I’m not going to tell you what I’ve seen that points to another date of something really bad happening but instead tell you to think like the matrix and go watch a movie called “Lucy” with Scarlett Johansson and you’ll see the date I think we’re going to crash.  Enough said…

Red

P.S.  Interesting how VERY BEARISH the week after the June 15th-17th is, which is based on prior history.

June-Calendar-2015

Just more evidence of a very important week starting June 15th and ending on “Triple Witching” Friday the 19th…

 

An 80-120 Point Down Move In The SPX Could Happen In March

Posted: 01 Mar 2015 07:29 PM PST

But if so the next move up should be a huge one…

The market looks a lot like the pattern from November 26th to December 5th, 2014.  It first sold off for a couple of day and then ran back up to make a higher high on the 5th right before a drop of about a 100 SPX points.  This suggests we’ll end the down move Monday/Tuesday (the 2085 area is good support) and go back up into the end of next week topping in the 2130-2140 area.

(to watch on youtube: http://www.youtube.com/watch?v=D5DVY_-B2d0)

This pattern also happened on September 4th, 2014 to the real high in that area on the 19th.  It topped on the 4th, sold off for a week and then back up to make a final higher high on the 19th before the real move down started.  That one was around 200 SPX before bottoming.

We find a similar pattern (with a small twist) back on the July 7th high to the real high on the 24th.  This time the market dropped again for 4 days first, then rallied back up to make “almost” a double top, but failed and had a big “one day” drop on the 17th before it then ran up again into the 24th for the real “higher high” just before the 87 point drop followed.

2015-03-01_1943

Looking back even further in time I can see this pattern showing up many times with slight twists to it.  Sometimes it did it’s first drop for 2-3 days, then back up to a new high and other times it took over a week for the first drop to end.  And some of the times there were 2 short drops before the final higher high with the real big drop that followed.

However, there were a few “fake outs” where it appeared that pattern was going to happen but it didn’t.  The October 30th, 2013 to November 7th was one such fake out.  It did another fake out shortly afterwards on November 29th to December 9th, 2013 where each time the expected “big” down move to follow never happened.

The November 7th high was followed by a big bear squeeze for several weeks.  The December 9th high did produce a few days of selling but it never dropped big like all the other periods where 80-120 points down usually followed.  That drop from the 9th barely took out the first low that hit on the 4th of December.

After the move up first I’d look for about 2060-2070 area to be retested as that was a triple top area before the breakout…

It should last about 2 weeks I’d guess and then back up to start a huge wave 3 rally of some kind.  Looking back again at the weekly chart and that rising trendline from the 2011 low of 1074 SPX I would expect it to hold again should they break through that triple top zone.  The 20MA on it is at 2042 right now and the 40MA is at 2003… which is resting just about on that rising trendline.

If I had to guess I’d say that 3 weeks from now the trendline should be around 2030-2040, but with February having such a strong rally I’m not sure how far down they will allow the market to drop in March, but if they drop that far it should be over with by the 3rd week and allow a rally to start in the last week to recover most of the down move.

This was a twitter comment I read last week and if it’s a “factual” statement then any early down move in March has high odds of being erased by the end of March.

“Since 1950 the SPX has gained >5% in February only 5 times (1970, 1975, 1986, 1991, 1998). Added to gains in March all 5 times.”

On an “elliottwave” count I think we are in some type of smaller wave 4 down now, that should complete on Monday or Tuesday.  Then a final smaller wave 5 up to about 2130 area to end a larger wave 3 up (that started at the 2042 low).  This would then complete a 5 wave pattern up from that 2042 low to an estimated 2130 area high.

Assuming this larger wave 3 up ends up being around 90 points in length it the following larger wave 4 down should be some Fibonacci level of 38.2% or even 50% in depth.  If that count is right then it doesn’t look too good for the 80-120 points move happening that I’m thinking will occur.  So for that reason I do think that this chart from Tony Caldaro will be relabeled should my technical analysis be correct by seeing a back test of the triple top area in the 2060-2070 area (or Tony says it’s an “acceptable” pullback to still qualify as a wave 4?)


SPXhourly

While I like to read what others have as wave counts using EW I just don’t find it very accurate on the short term.  The gangsters that run this market don’t play by EW rules as we all should know by now.  Try to make sense of that straight up rally from the 1972 low in December 2014 to the 2093 high and give me your EW count there?  Can’t be done in my opinion.

Don’t get me wrong, I like Tony and find his posts helpful a lot.  But SkyNet (what I call the super computer that manipulates the market) is programmed to steal your money.  So it’s well aware of bloggers (and traders) that use technical analysis, elliottwave, fib. levels, astrology, T cycles, etc… to predict the future direction.

Which of course mean…

It’s going to fool you by letting these charting methods work for awhile and just when you think you’ve figured it all out SkyNet just pulls a 180 on your wave count (and/or TA’s, Fib. Level’s, etc…) and has some crazy move out of the blue that no one can see coming.  The move up from the 1820 SPX low to the 2079 high is a perfect example.

I read many tweets about it and hear people say that they’d never seen such a move in their 40 years of trading!  And other stating that it had never happened before in the past!  This should tell you that the more us sheep have access to various charting methods that used too work before the internet the more likely we are to see “Crazy Ivan” type moves happen as SkyNet has to adapt to us sheep figuring out the next move and being on the right side of the trade for once.

Since SkyNet can’t steal the sheep’s money and give it to the bankster gangsters that programed it the computer is forced to go hard in one direction or the other to hit all the buy and/or sell stops put in place by the sheep.  What I’m saying here is that a typical wave 4 down should be around the same length as the wave 2 was (2072 down to 2041 on 2/9), and some smaller Fibonacci level like 23.6% or 38.2% as opposed to 50%-61.8% that I’d need for my thoughts of dropping back to that triple top area.

Regardless of the EW count I’m still leaning toward my forecast of a dip to 2085 area Monday/Tuesday, up to 2130 area and then down to 2060-2070 zone to retest the breakout point that has taken us up to the current new highs.  That’s my forecast for now and I’m sticking too it!  LOL.

Red

P.S.  I installed a new commenting system so now you can use Disqus, WordPress, Facebook, or Google Plus to leave your thoughts on the market.  I’ll set it to default to show the Disqus comments as that’s what I’ve had on the blog since I started it in late 2009.  Unfortunately you’ll have to click on each of the 4 icons to read (or leave) comments using each of them as it does not combine them all together.  There could be some comments under each one so click on all of them to see what’s going on…  Thanks.

Outlook For The Stock Market In 2015

Posted: 14 Jan 2015 03:58 PM PST

Will we get another crash this year?

I think we’ll at least see a 20%+ correction, but crash… probably not.

(to watch on youtube: http://www.youtube.com/watch?v=FDwL7nKP6jc)

I guess if the correction is fast enough you might call it a mini-crash, but the next BIG Crash is still a couple of years off I believe.  I’m looking for an early pullback in January/February and then a push back up into mid-summer, with July being the most likely month to top out in.  What I’m looking for is a move similar to the 2011 drop that bottomed at 1101.54 SPX on August 8th, then bounced and made another lower low on October 3rd of 1074.77 which most elliottwave chartists call “Primary Wave 2” down with the current rally up since then being one very long Primary Wave 3 up.

So we are looking for a Primary Wave 4 down this year and it should be 20%+ if it’s going to be similar to P2 down.  This monthly chart tells us a lot from a technical point of view.  We can clearly see the MACD’s losing momentum and looking ready to go negative soon.  How long it takes is just a guess but I think we’ll have at least one month close down (probably this January) and then a few positive months into mid-summer before losing the zero line on that MACD chart.  Possibly we tread along it for the first half of 2015 staying between zero and maybe +5 or so?

SPX-Monthly-Chart-01-13-2015

Looking at the rising channel we can see that lower blue line is coming in around 1750 which I believe we could very well see hit later this year.  While it’s possible that it breaks and we go down and hit the horizontal support level just under 1600 from the two prior tops in 2000 and 2007 I suspect they won’t let it drop that far.  Remember, there is very likely one more very larger “blow off top” rally coming (Primary Wave 5) that should top out in 2017 sometime… so I don’t think they’ll let the market collapse too far this year.

Medium Term Outlook

Clearly we have already started selling off this January as I write this post so that’s no big surprise.  Looking at the weekly chart we the MACD’s going negative and price level still inside the rising wedge.  Back in October of 2014 we seen the market breakdown through that lower trendline of support but rally back above it before the week closed out… saving the market once again from a much bigger collapse.

SPX-Weekly-Chart-01-13-2015

We notice now that the MA 40 is around 1974 on the SPX in this chart and that’s just slightly above that lower support line on the rising wedge.  So, if they plan on rallying up to new higher highs into mid-summer they need to hold that zone on a weekly close to avoid a bigger drop.  However, the monthly chart looks much weaker this time around then back in October when they pierced it once, which leads me to speculate that the support line won’t hold this time if it’s broken.  My guess is that we’ll hold it on the first hit, then lose it later this month or early February after riding the support for a few weeks.

By letting the trendline break with a deeper correction they can then have a more sustainable up move afterwards.  It would create a new channel and level of support for the bulls and give them the opportunity to rally into mid-summer to backtest the broken trendline on the current rising wedge, which would of course be at a much higher level by then.

This is the best scenario for the bulls I think as without a decent correction I just don’t think they will be able to rally up to 2100-2200 like they want to do.  Trying to stay inside that rising wedge all the way out to mid-summer (where I suspect we’ll top at) will be a tough feat for the bulls… especially with the threat that Janet Yellen will speak of a future interest rate rising happening in the near future.  While I don’t know if they will actually raise it this year just the hint of it will be enough to scare the bulls and excite the bears.

As we all know the market rallies and sells off in front of any planned events and not when they actually happen.  It’s the old “sell the rumor, buy the news” saying that keeps the market always doing something today in anticipation of something in the future.  This is why the market is always on edge every time the FED’s release the minutes of the latest FOMC meetings.

So from a technical point of view, combined with the fear of some future interest rate hike, it won’t be likely that the market can continue rising until mid-summer while staying inside that wedge.  It’s getting too bearish on the monthly chart now to support the weekly holding that lower support trendline.  This is why I think it will break this time around and then rally back up later this year for the possible backtest.

The monthly chart has support from the MA 20 at 1868 area, which “could” be the zone that we’ll see this January, February, or March before turning back up to rally hard looking for that higher high into mid-summer.  If they don’t allow the market to correct that far and instead manipulate it to stay inside the rising wedge on the weekly chart then I don’t think we’ll see much of a higher high into mid-summer.  At that point I’ll lower the odds of seeing 2200+ and forecast that we’ll end somewhere in the 2100 area with a lot of sideways range bound trading between now and that top.

On the flip side if they allow the deeper correction then I’d expect to see 2200+ in mid-summer with a more steady rally happening along the way as opposed to the range bound wild swings up and down we’ve been having over the last several months.  While this range is over a 100 points wide right now I think it will end if they just allow a bigger correction to happen… as therefore a more powerful rally can start.  Failure to allow the correction means we’ll likely see more of these wild and crazy moves up and down until summer while they try to stay inside that rising wedge.

Short Term

While it’s been a very steady and controlled move down this week the daily chart is getting oversold and due for a bigger rally here soon then the one day (or intraday) moves we’ve recently had.  The short term support is at the 200 day moving average around 1965, which could be hit this week if they are going to do a “flush out” move before bouncing.  It lines up nicely with a double bottom area of 1972 from December 16th, 2014 which should add to the support as well.  It’s an obvious level that everyone see’s and is currently acting like a magnet for the market, drawing it closer every day it seems.

However, we all know that when something it very well seen by the masses SkyNet will usually do the opposite so the sheep lose money again.  So that “flush out” move to that zone should be tricky and fool the sheep so they get shaken out of their positions at a lost.  How will SkyNet do it?  That’s a great question and one that I can’t answer unfortunately.

It could gap down to that zone Thursday morning and reverse back up all day squeezing the bears that are expecting a crash, and continue that squeeze into Friday recovering a large amount of the move down, while making all those bears holding January 16th puts expire worthless and futures traders start buying back their shorts at a lost (which is how the bulls get these huge rallies in the first place).

Or they could just rally it up from the current level staying above that obvious target zone and pushing that thrust move down until next week or the week after.  I’m thinking (guessing… speculating) that a nasty solid (or almost solid) red candle bar close on the weekly chart for this week isn’t something they want to happen as it will then increase the odds of the following week tanking even deeper and breaking the 40 MA around 1974 on the weekly chart.  Some how I get the feeling they will start a squeeze from the current levels (falling short of hitting the 200 DMA of 1965 and/or the double bottom of 1972) and save the move down lower for next week and/or the week after.

I think the 200 DMA will not be the short term bottom before a bigger bounce.  It doesn’t line up to me.  I see SkyNet fooling the sheep with a break of that zone to a lower level.  While I’m sure there will be a bounce from it as the big boys buy it I don’t think it will hold as the low for them to rally up to new all time highs from.  I think that we’ll see a short lived bounce and then another push lower into the end of this month.

Legatus-Conference-01-29-2015

I’m guessing will bottom around the next Legatus meeting January 29th-31st, 2015… which also is the same time frame of another FOMC meeting (http://ift.tt/RdUtTy).  Too much coincidence for me to think a big turn in the market won’t happen during that time period.  Therefore I think we’ll bounce this week and hold the 40 MA on the weekly and the lower rising trendline on that rising wedge, and then over the next 2 weeks into the end of January we’ll see a break of that line with a target zone of 1750, 1820, or 1868 being hit.

The 1750 estimate is from the monthly chart as that’s where the lower trendline is on the rising channel.  I give it low odds of hitting but it’s still possible.   The 1820 area is from the October 15th, 2014 low and would be of course create a double bottom.  I give it medium odds of being hit.  The 1868 level is from the 20 MA on the monthly chart and it makes the most sense too me of being hit due to the expected turn date zone of being at the end of this month.

It would also fool a lot of sheep that (once at that zone level) would naturally be staying short expecting to exit and go long at the double bottom of 1820… which brings us back to the current market level today as being in a similar zone of just 20-40 points shy of another expected double bottom where the sheep would again want to exit their shorts and go long.  Since SkyNet’s job is to steal the money from the sheep I find it unlike to be hit this week as I previously suggested.

It’s all about mis-direction as you know.  Anything too obvious to happen simply won’t happen… at least not when everyone is expecting it to happen.  Therefore I’m looking to be fooled as that’s SkyNet’s only way to profit… and it does it very well.  After we rally up next week to get everyone bullish again we’ll be looking for the sell off to continue into the Legatus/FOMC date zone.

Red

 

Will There Be A Stock Market Crash In 2014?

Posted: 12 Oct 2014 07:51 PM PDT

Will There Be A False Flag On November 9th, 2014 To Crash The Stock Market? (updated 11/04/2014)

(to watch on youtube: http://www.youtube.com/watch?v=n17FTmLjcpQ)

Here’s the previous notes that I posted back in January…

  • 2014 will be a magic year (meaning what?  will you pull a rabbit out your hat?  will you steal money from the sheep without them seeing you do it?)
  • 100th anniversary of the first world war in 1914 (strangely when I researched what happened to the DOW back then it was closed down for several months due to the first world war starting.  are we expecting the same here? REFERENCE: http://ift.tt/1wwQpyb )
  • 70th anniversary of the Bretton Woods Conference that gave birth to the IMF. (The delegates deliberated during 1–22 July 1944, and signed the Agreement on its final day. REFERENCE: http://ift.tt/1zKjCtQ Not sure what the hidden message was here?)
  • 25th anniversary of the fall of the Berlin wall (Destruction date: November 9, 1989… but what is she hinting at here?  Is the “buzz word” the “25th”or the “fall”?  Does the 25th mean a certain future date or does the word “fall” indicate that the market will fall hard?)
  • 7th anniversary of the financial market jitters. (again with the focus on the number 7… meaning what?  are we looking for another move down similar to 2008?)
  • The crisis still lingers… (clearly this means we are going down again)
  • It will not happen randomly… (of course not, it’s always planned)
  • “Global growth is still stuck in low gear” (Hmmm… just a fall guy to blame I guess?  We tank and it’s the fault of slowing global growth)
  • It will not be without downside risks, and significant ones (referring to inflation… or was it really meant to refer to the stock market?)
  • We are seeing rising risks of deflation… (good for us sheep but bad for them)
  • Global growth slowing down as the economy cycle turns… (the “buzz word” that stands out to me there is “cycle turns”)
  • Risk of capital runs… (You really mean the gangsters are moving their money out the market before the collapse)
  • Dry run back in May of 2013… (Ah yes, the old test where Bernanke hinted at pulling money out the market last year)
  • There could still be some rough waters ahead of us… (another clear warning that they plan on taking the market down)
  • Overall, the direction is positive (meaning after the downturn the market we’ll go back up again, which should be a final Primary Wave 5 up with this coming correction next month being a nasty Primary Wave 4 down)
  • 95% of the income growth went to the top 1% (Duh… nothing new there as that was always the plan!  Steal from the sheep and give to the wolves)
  • Tapering will have too be very well timed… (again, she’s clearly staying that we are going to withdraw money from the market)
  • Central banks will have to “undo” what they’ve done… (and again, more references to cutting back the stimulus?)
  • Removing the threat of the debt ceiling… (meaning what?  They won’t set one, or make it unlimited?  I don’t know what she means with this sentence?)
  • A stress test will be done in 2014… (Why?  You already know the banks would all fail.  I guess they have to blame the correction on something)


____________________________________________________

Or Just A Big 15-20% Correction?

(to watch on youtube: http://www.youtube.com/watch?v=Gi-mqG8gkQM)

I give the odds of a big correction at 95% and a full blown crash of about 50% for 2014…

In the past 3 years all we’ve seen are these small 4-6% corrections and many people think that’s all we are going to have this time around too.  They see the market at or near the 200dma and think it will bounce and go back up to new all time highs again.  But will this time be different?  I think so.  Why you ask?  One simple answer:  “The weekly rising trendline of support final broke down last week and closed below it”.

S&P500-Weekly-Chart-10-12-2014

 

It’s been having these small corrections since the 2011 low and bouncing off of that trendline every single time.  It’s been great support for the last 3 years but it’s finally failed.  This is the first signs of the end for the bull market since the 2009 low.  While I’m sure there will be one more final rally to retest the current high, (which should start this December, 2014 and carry into early 2015) the current trend is down and we should not assume that this correction has ended yet.

My estimate is that we’ll see the mid-1700’s on SPX by the end of November before the Christmas rally begins.  I suspect the Full Stochastic will be bottomed in the 20’s on the chart above by that time and allow a relief rally.  The MACD’s should be close to the zero line as well, where other bottoms form and allow a bounce.  Once that rally starts it should last all of December (of course) and carry into the early part of 2015.

It’s hard too know how long the rally will last as it could be only 3-4 months or 3 years?  It is called a Primary Wave 5 up in Elliottwave terms by others (Tony Caldaro) that do a lot better job of tracking wave then I do.  It only has to have a higher high then the current high of 2019 SPX to be a successful Primary Wave 5 up.  It could simply go to 2020 in 3-4 months or extend for 3 years to 3000 or more?  There is no way to know what the government will do to try and extend the market but we can speculate based on the past.

What could cause an extend Primary Wave 5 up… QE4, QE5, and QE6?

I don’t know the answer there but I’ll say that “in my opinion” the QE programs have exhausted themselves and won’t work to prop up the pig from here on forward.  This pig of a stock market is much too heavy now with unsustainable debts world wide.  It’s like giving a dying patient a fourth, fifth and sixth round of chemo and radiation treatments with triple the morphine.  It might have helped keep the pig alive in 2009 but this pig is dying and no amount of stimulus is likely to work this time around.

What does that leave for the government to do?  I don’t have a clue?  You can see in the monthly chart below how we should have crashed in the last few years but were saved by QE Infinity (also known as QE3 [quantitative easing]}.  Looking at the 2011 to 2013 period you’ll see the market go from 1400 area to 1100 and stop, then rebound back up again creating the rising channel we see now.  Now look at the ROC (rate of change) during that same period.  It’s hovering on the zero line for almost 2 years trying not to fall below.

S&P500-Monthly-Chart-(top-half)-10-11-2014

When you compare it to the level the MACD’s were at during that period, and then look back to the 2007 top to see the comparisons you would have thought the market would have crashed but the government intervened with the largest QE program ever… “to infinity and beyond as Buzz Bernanke would say”!  It looked perfect for another HUGE “wipeout” crash at that time from a technical point of view.

You have the 2000 high with MACD’s up in the 120-130’s, then a lower MACD high in 2007 in the 60-70’s, with the 2011-2013 zone peaking in the 50’s creating a triple negative divergence on the Monthly chart.  Clearly the market “should” have crashed then, but the Fed’s intervened with QE Infinity.  Now they have successfully manipulated the stock market up to historically levels.  The MACD has never been higher in history (from what I read someone else).

What’s all this mean you ask?

To me it says the likelihood of a “Full Blown Stock Market Crash” like 1929 is VERY likely to happen between 2015 and 2017.  The biggest drop will likely happen in 2015 I think as I really doubt if we’ll make some extended Primary Wave 5 up that last for 3 years or so with upside targets of 3000 or more.  I’m more inclined to seeing a December 2014 rally that will look similar to rally May, 2008 that simply made a lower high and then crashed the rest of the year.  This suggests that we’ll top out in January, 2015 and then drop all year.

If the market goes down to the 1700’s area where the lower trendline of support is on the monthly chart then that’s the scenario I see happening… just a one month Christmas Santa Claus rally  to make a lower high in January and then a crash.  If however the market only goes down to the 20ma around 1795.47 on the monthly chart then there’s a possibility that we’ll rally back up to make a “slightly” higher high in early January to hit a “possible” FP (fake print) I spotted on the SPY back on September 19th, 2014 showing 202.45 as an intraday high.  Since we never went that high that day it’s “possible” that it’s a FP signal to the insiders that know how to read it, which “could” indicate the final top in early January, 2015 after this correction is over with and the P5 (primary wave 5) rally starts.

SPY-FP-202.45-on-09-19-2014

It could be nothing of course… or a “real” FP telling insiders the final high for P5?

Let’s talk about the rituals for minute now…

Yes, it’s that time of year again when all the elite satan worshiping gangsters meet in secret (but right in front of you… if you are looking?).  Of course I’m talking about Legatus, where we find every snake of importance in the world going to so they can find out the latest information on how the super elite gangsters (the true Reptilians) play to screw the sheep (that’s you and me).

Legatus-October-Meeting-2014

Their October meeting is going on now as it started on October 8th and ends this coming Friday October 17th, 2014.  I’ve done many posts in the past about the importance of these meetings and how the gangsters like to “turn” the stock market before, during, or just after one of these meetings end (http://ift.tt/1sJ2WRa).  I called a very important top on May 22nd, 2013 primarily based on a Legatus meeting during that period, along with technical analysis and numerology.  That date added up to a 33 when adding all the numbers in it leaving 22 as a whole since it’s a master number.

Point being is that the gangsters commonly have “turns” in the market around these meetings and they use numerology to pick dates.  Having this meeting going on right now and ending this coming Friday tells me it’s likely to be some type of bounce back up wave to retrace possibly 50% of the entire down move from 2019 to whatever the low is… which I suspect will happen Monday around the 1900 area (+/- 10 points).  So “if” we bottom at say 1890 SPX this week we could “should” retrace back up about 50% of the move down.

Speculating here but if we dropped from 2019 to 1890 then we about 129 points and half of that is about 65 points.  So we should bounce to about 1955 area before we have the really big drop start.  I think we’ll hit that level by this coming Friday but it could go up a little more the following Monday to some other Fibonacci level like 61.8%, or 79 points from the 1890 low… meaning 1969 is possible.  First of course we have to find the low to calculate from… which should happen early this week.  Then we can guess on the upside target…

Usually high levels of open interest in the Puts for October 17th expiration…

Since I like to trade options I’m commonly looking at the various strike prices, open interest, levels, days to expire, etc… and one of the things I mentioned a few weeks back in a comment and tweet was the very high level of puts in the 190 and 195 strike prices.  On could imply that it’s insiders buying them up as they know the market is going to fall below that level.  But that’s not usually the case.  Most of the time it’s just speculators that may or may not have seen the down move coming and loaded up short.  However, from my experience the “market makers” will manipulate the market back up above the highest open interest levels to make those puts expire worthless.

High-Open-Interest-SPY-October-17th-2014

So will this time be different?  Maybe?  I just don’t know?  Normally I’d expect to see 50,000 to 100,000 contracts on any given even number strike price and less then that on the odd prices with the .5’s on the end but having 556,194 contracts at the 190 strike price is at least 5 times the normal amount I’m used too seeing.  Then the 195’s have 237,554 on them, which tells me the market makers will have to do a whole of digging in their pockets to pay out those put holders if they allow it close below 195 SPY (about 1950 SPX) this coming Friday the 17th.  I can tell you that these guys are similar to card dealers in Vegas and will lose their job if too many people win at their table.  So you tell me what you think they will do?  I think they will rally the market up to make them expire worthless.  In Vegas some manager would come out and have the dealer move to another table to break up the winning streak.

Of course there’s no way to know for sure if the “insiders” are actually the one’s that are short and know that the market is going down below there by Friday the 17th but certainly we’d expect to see a lot of wild swing “shakeouts” for the retail sheep holding puts.  Then after the market makers sure up their positions they “could” let the market collapse late Friday after most of those puts holders have giving up and sold out at a lose.  Anyway, I’m looking for some kind of rally this week as everything tells me we are oversold short term and due a nice rally.

But after the rally we should expect another HUGE drop the following weeks into the end of November.  I’m looking for that rising trendline of support to be the low are before a bounce, which appears to be around the low 1,700’s.  If it’s only a shallow sell off then the 20ma on the monthly chart “could” stop the fall, which is just under 1800 SPX.  I’m unsure which will happen but leaning toward the lower target just based on the charts and how many weeks we have left before the end of November when I’m expecting a  bottom to happen.

After that we get a Santa Rally I guess…

Red

P.S.  Let’s keep an eye on the Fed’s Outright Treasury Coupon Purchases too as they can add to the extreme volitalite as they try to save the market from collapse on these days.

Outright-Treasury-Coupon-Purchases-For-October-2014

Global Currency Reset Stock Market Crash Or Both?

Posted: 15 Jul 2014 09:22 PM PDT

Is Christine Lagarde fooling the sheep or telling the truth?

(to watch on youtube: http://www.youtube.com/watch?v=_jkSp18v0Dw)

I delayed writing this post for over a week as I just didn’t think it was going to happen.  Past history shows that every time we sheep hear something on the internet that is supposed to happen, and therefore we short the stock market, we end up getting screwed when the market rallies and the event date passes with nothing much happening.

But… is this time different?

I really wish I knew the answer there but I don’t?  The last 5 years have been a huge learning experience for me personally as I only started this blog to post my own thoughts about where the stock market was going to next.  I never decided to take the “red pill” and become a conspiracy blog poster.  In fact I never would have went down the rabbit hole if I hadn’t seen my first FP (fake print) back on January 11th, 2010 showing a 97 point drop in the SPX that day when it really only traded in a 5 point range or so.

That lead me down the path to learning that the stock was 100% rigged… and always has been rigged since it was created many, many years ago.  It’s designed to steal money from the average long term investor sheep that doesn’t trade the market everyday but puts in his or her savings into a 401k plan with the hopes of having a nice nest egg to retire on one day.

The gangsters the run the market (they are called the Illuminati, the Cabal, the Free Masons, but they are all the same) created this system so they could use these sheeps’ money to pay for large projects they build in other countries where they find cheap labor to replace the current labor force in the current country.  Meaning that they have the sheep in a country like America pay to have their jobs replaced by cheaper labor in a third world country.

Basically they crash the stock market from time to time to steal that money to pay for the building of the infrastructure of that third world country.  The money they steal from the sheep from their retirement plans being cut in half goes to pay for the final outsourcing of the sheeps’ jobs to that third world country.  So when you hear a president come on TV and say that he is going to help “level the playing field” by creating jobs in one of those countries you now know that he simply means that he plans on replacing your high dollar job with someone cheaper.

The last stock market crash in 2008 was done to pay for the infrastructure of India…

The next stock market crash will be done to pay the infrastructure of another third world country that has even cheaper labor then America or India does.  People there work for a dollar a day I’m told… which means that the gangsters that control the world can put a lot more money in their pocket by paying those people the pay YOU!

If you think they will replace you with a machine or robot you’re wrong!  You’ll be replaced with another human that is less educated then you and will work for far less then you currently make.  The biggest “outsourcing” of YOU is scheduled to be completed in 2017… which means you can expect a HUGE Stock Market Crash to start that year as it’s the LARGEST project ever built, and that means it will be this biggest crash since 1929 as well.

But I’m getting off topic hear aren’t I?

Sorry, but one of the things I always do is just write whatever comes to mind at the time.  That means I go off topic from time to time as the thoughts just pour into my head.  In fact, I never script anything or go back and change any videos.  If I screw up in something I said I just keep on talking and post it anyway.  Going back and editing out the “hmmm’s and uh’s” is a waste of time as I’m just as human as you are and make ton’s of mistakes.

One of those is the penny stock newsletter.  While I’m still struggling to understand this game so I can help all of you make money from it my partner and I are frustrated with alerts we’ve sent out.  All the recent companies we’ve researched thoroughly and know that they all have huge potential.  But it seems that they can’t seem to get going to the upside even when a lot of other groups also see the potential and alert their members too.

However, that’s another story.  I don’t have time to go into details about it now as I’ve got to tell you about what I see happening the stock market right now.  Meaning that this Christine Lagarde video is something I must cover again.  While I did a post on it back in January (http://ift.tt/1zKjElo), and even though the date I forecasted back then was wrong the video itself is something worth revisiting.

I know that in the past 5 years I’ve gotten caught up in this “red pill” stuff and went short the market based on it… only to see the market rally and kill my position, some how this time “could” really be different?  While I don’t have a crystal ball I will say that I’ve never actually heard one of the gangsters (the elite… as in, Christine Lagarde) publicly say something that pointed to an “event happening” and a “date” for it.  Truly this is a first… at least for me!

I’m probably 100% wrong on this call as I feel I’m the only person bearish right now…

Here’s my thoughts… Lagarde is telling the truth as she is clearing saying that we are going to experience a big correction in the market this year.  Why?  Because it’s a “magical year” as she clearly pointed out how important the number 7 is to the elite.  The question is… what is the date she is talking about?  And what is it that is planned to happen?  Will it be a “Global Current Reset” as Lindsey Williams said will happen, or will it just be some other reason for them to tank the stock market?  I don’t know “what” the event is but the date does seem to be set in July of 2014 as 2+0+1+4=7 and July is the 7th month.  The only thing left is the date of the month… which the 7th, 16th, and 25th all equal a 7, but which one?  When combined with the month and year you’ll have “magical” 777 day!

I’m speculating that it’s on the 16th because of this Bradley turn date that peaks on the 16th…

(to watch on youtube: http://www.youtube.com/watch?v=QYmViPTndxw)

 

Now of course I could be off and the date could be the 25th, but I must admit that “if” we some how put in high, low, open or closing price on Wednesday the 16th (a 777 day) of 1977.77 SPX or 197.77 SPY I’d be extremely excited about shorting the market as that would be a signal to the “Illuminated Ones” (which I’m not one of but trying to figure out their signals) that the top was in.  Most people don’t remember August 25th, 1987 other then that was the high for the year of 1987 but the crash was of course on “Black Monday” October 19th, 1987.

However, on that date the SPX put in an intraday high of 337.88… which the 88 is of course a master number meaning “11”, but more importantly was the “not noticed” (except by the “Illuminated Assholes”) intraday low of… [insert drum roll here] 333.33!  YES, they put a clear signal that the top was in that day!  Did you see it or know it?  Not likely… in fact I only noticed it about a year ago after I started added numerology in my day to day chart analysis.  Does it mean any?  You tell me… does the March 6th, 2009 low of 666 mean anything?

Maybe I’m totally nuts and ritual numbers in the market are just random events, or maybe the market really is run by vampires called “reptilian shape-shifter”?  People believed in demons centuries ago but modern man doesn’t seem to think stuff like this is real… why?  If they were real back then what makes you think that they some how disappeared today?  If they ruled the sheep back then why shouldn’t they still be ruling the sheep now?  They just go underground (so to speak) and hide from the public, but they still run the show.  In fact, the oldest vampires are probably in the Rothschild family and are the one’s responsible for shooting down that plane in Malaysia.  There was a team of 4 Chinese inventors that held a patent for 80% (20% between each of them) for something still unknown, with FreeScale Semiconductor owning the remaining 20% of the invention.

Now the interesting thing is that FreeScale is owned by the group building the new infrastructure (to eliminate YOUR job) which is called the Blackstone Group.  And Blackstone is own by the Rothschild vampires… so do the math!  They shot down the plane to get 100% of the patent as the legal contract stated that in the event of one of the parties dying the remaining percentage of would be split among the surviving members.  Therefore, if you kill 4 people that own 80% of the patent the remaining company called FreeScale would then get all of that and own 100%, not the original 20% (nothing new here as the same vampires sunk the Titanic too, but that’s another story).

Getting back on track again…

Again, I must apology as I sometimes just drift onto subjects that are off topic and I’m sure you don’t care about that other stuff and just want and update on the stock market so you can make money from it. My thoughts have been simple really… a ritual number should but put in on Wednesday the 16th of 2014 to indicate that an important top is it.  My “human side” tells me that they will take the market higher but recently I’ve been “talking to myself… LOL” for a lack of understanding and I’ve been told to short on Wednesday and that it would be a very important top… and that this Lagarde thing is real.

Personally I don’t believe my “inter-voice” yet, as I’ve only recently (the last 2 weeks) been talking to it (yeah, if you didn’t already think I was crazy you do now).  I mean, come on now…  I’ll be 50 years old (although I look much, much younger… probably the blue eyes and blonde hair) this coming August 10th, 2014 (yes, I was born the year of the dragon in 1964 and the month of Leo… hence the name of this site) and I have to say that I feel like I’m only 30 years old.  Crazy huh?  It’s probably because I never got married or had any kids to stress me out… LOL!

Anyway, this voice in my head has told me 4 correct calls in a row and I took 3 of them to make a bunch of money.  I didn’t take the Monday the 7th call was to get short within the first 30 minutes on the expect bounce.  Needless to say I was dumb for missing out on that call and not listening to my inter-voice.  I did listen and I placed a short on the 9th right at the last 30 minutes of the day.  I think I tripled my money on that call (it was a put spread that expired that week… very risky).  Then I went long at the bottom (missed it by a 1-2 points) on 7-10 as my inter-voice told me to sell and go long into this coming Wednesday the 16th.

However, stupid me closed out my call spread on Friday before Monday’s rally up.  So while I still made about 40% gain I could have made about 80% if I had listened to myself telling me what to do.  This voice tells me to short the crap out of Wednesday’s move with the expected high to happen by the noon time hour.  I can’t explain it but I’ve made a bunch of money on taking the 3 of 4 of these predictions with all 4 of them being correct.  It’s hard from me to believe that suddenly I’ve been in contact with my immortal soul (or directly with God himself/herself… LOL) but I’ve prayed about it months now.  I really wanted to connect with myself through my pineal gland like all the gangsters do to connect to Satan.

But while others have been able to see visions and stuff I’ve seen nothing.  I still see nothing.  I’m probably nuts for even posting this publicly but myself tells me to do it… LOL!  Well, there’s nothing like pouring out your heart publicly I guess.  So I’ll just say again that I strongly believe tomorrow is an important day to take a short position.  I don’t know if there is going to be a “Global Currency Reset” like many think will happen (and Christine Lagarde hints at without saying directly) but the charts are very bearish and even without such an event we should be in a short position.

Here’s the previous notes that I posted back in January…

  • 2014 will be a magic year (meaning what?  will you pull a rabbit out your hat?  will you steal money from the sheep without them seeing you do it?)
  • 100th anniversary of the first world war in 1914 (strangely when I researched what happened to the DOW back then it was closed down for several months due to the first world war starting.  are we expecting the same here? REFERENCE: http://ift.tt/1wwQpyb )
  • 70th anniversary of the Bretton Woods Conference that gave birth to the IMF. (The delegates deliberated during 1–22 July 1944, and signed the Agreement on its final day. REFERENCE: http://ift.tt/1zKjCtQ Not sure what the hidden message was here?)
  • 25th anniversary of the fall of the Berlin wall (Destruction date: November 9, 1989… but what is she hinting at here?  Is the “buzz word” the “25th”or the “fall”?  Does the 25th mean a certain future date or does the word “fall” indicate that the market will fall hard?)
  • 7th anniversary of the financial market jitters. (again with the focus on the number 7… meaning what?  are we looking for another move down similar to 2008?)
  • The crisis still lingers… (clearly this means we are going down again)
  • It will not happen randomly… (of course not, it’s always planned)
  • “Global growth is still stuck in low gear” (Hmmm… just a fall guy to blame I guess?  We tank and it’s the fault of slowing global growth)
  • It will not be without downside risks, and significant ones (referring to inflation… or was it really meant to refer to the stock market?)
  • We are seeing rising risks of deflation… (good for us sheep but bad for them)
  • Global growth slowing down as the economy cycle turns… (the “buzz word” that stands out to me there is “cycle turns”)
  • Risk of capital runs… (You really mean the gangsters are moving their money out the market before the collapse)
  • Dry run back in May of 2013… (Ah yes, the old test where Bernanke hinted at pulling money out the market last year)
  • There could still be some rough waters ahead of us… (another clear warning that they plan on taking the market down)
  • Overall, the direction is positive (meaning after the downturn the market we’ll go back up again, which should be a final Primary Wave 5 up with this coming correction next month being a nasty Primary Wave 4 down)
  • 95% of the income growth went to the top 1% (Duh… nothing new there as that was always the plan!  Steal from the sheep and give to the wolves)
  • Tapering will have too be very well timed… (again, she’s clearly staying that we are going to withdraw money from the market)
  • Central banks will have to “undo” what they’ve done… (and again, more references to cutting back the stimulus?)
  • Removing the threat of the debt ceiling… (meaning what?  They won’t set one, or make it unlimited?  I don’t know what she means with this sentence?)
  • A stress test will be done in 2014… (Why?  You already know the banks would all fail.  I guess they have to blame the correction on something)

I’ll point out that unless you are truly one of the elite it’s not obvious to the date of the event or the actual event itself.   It’s only obvious that we are in for some rough waters in this magical year of 2014.   Does that mean we tank in the stock market?  Does that mean we have a global currency reset?  I just don’t know the answers there but I sure do think this market is ready to take a nose dive.  So assuming we don’t gap up 10+ points on the 16th I’ll be looking for some ritual number (like 1977.77 SPX or 197.77 SPY) to be hit early on which I’ll be shorting for a ride down to 1900-1920 SPX area in the coming weeks (or less?).

Red…

 

Bulls In Control Until Mid-Summer…

Posted: 09 Jun 2014 11:31 AM PDT

Light Volume Melt UP Still Continues…

(to watch on youtube: http://www.youtube.com/watch?v=ye9vs_any6Y)

The market is currently experiencing some of the light trading volume days I’ve seen in a very long time.  It’s preventing the bears from having any pullback at all.  While we “should” have had a 2-4% SPX pullback recently it just hasn’t happened and doesn’t look like it’s going to happen anytime soon.  Possibly we’ll get some “one day wonders” of 20-30 points down in the near future but I wouldn’t count on it.  The old saying is “never short a dull market” and this is the dullest market around.

I’ll go over the charts in the video but any bearish case (and there’s a whole lot of them) will probably NOT play out due to the light volume we are having that keeps the market up in spite of everything else.  Some even say it feels like the 1999-2000 run up in the market… just a slow grind every day to put everyone to sleep as it defies gravity and just never has any decent pullback to get long at.  Everyone was forced to chase it… at least until the END!

While I’m not expecting this year to crash like it did back then I am expecting a 10-15% correction later this second half of 2014.  The real crash is around 3 years away I think.  However, I was expecting some pullbacks of 2-4% that I would like to play on both the downside and the upside rally that would follow.  It’s just not looking like I’m going to get it until we see some more volume in the market.  We are very far away from all the moving averages below and various support levels, which normally CANNOT be sustained for very long without a correction.  But we are NOT in a “NORMAL” trading period as the volume probably the lightest we’ve had for the last 5 years or more.

It tells me that the Fed’s have instructed the big institutions NOT to sell, which will allow this light volume float up to continue much longer then it should.  It’s obviously not the Fed’s QE money pushing this market up as they are taking more and more of it out the market at every FOMC meeting, so it’s got to be the small retail sheep buying it up here as there’s no one left but them.

Lets examine this daily chart of the SPX for a minute…

SPX-Update-06-08-2014

Looking back to December of 2013 you’ll notice how the market hit overhead resistance, pulled back for a couple of days (30-40 points), went back up and hit resistance again and then pulled back for a 2nd time for another 30-40 points…. and finally rolled over for about a 6% correction to bottom at 1737 SPX in February of 2014.  Then we rallied up until March before tiring out and after several days of chopping sideways we dropped for a few days… again 30-40 points.

Then back up to peak at 1897 in late March, which was then followed by about a 4.5% correction.  Each time the market dropped to hit the rising trendline of support from 2011 and bounced back up from it.  That’s why I was expecting only a 2-4% correction this time as the market was making smaller corrections each time as it was coming to the end of the rising wedge.

This most recent time the market chopped along that rising trendline of resistance in the 1920 area for many days and couldn’t get through.  Everything looked similar to the prior 3-4 times except that we were actually more overbought this time thing previously.  So what changed?  Why didn’t the market rollover again?  The only answer I have is “EXTREMELY LIGHT VOLUME!”.

So what’s next?

My best guess is that we continue higher with that next overhead resistance line being the next upside target.  It looks to be near 2000 SPX on the chart but it’s hard to tell for sure as it rises every day.  But if there are a lot of bear stops still left after Friday’s breakout move then the bulls could put a nasty wave 3 squeeze on the bears and run this up higher then we could believe this week.

However, the more likely scenario is that we backtest the broken trendline of resistance in the 1925 area that will now become support.  This week is usually the pause or down week with the bottom being put in on Thursday or Friday, and then next week is usually the super bullish week as it’s the month option expiration week.

With that said I’d look for a long position on a pullback to backtest that broken trendline as the odds are strong that we will now continue higher with 2000+ being the upside target area.  Once we hit that rising trendline (which again is in the 2000 area currently) I could then see a pullback to the middle rising trendline that we just broke out of late last week.  It could rise up to 1930-1935 by then… depending on how long it takes us to first hit the upper rising trendline near 2000.

Catching a bear move is during a cattle drive isn’t exactly the easiest thing to do!

One might view this slow grind higher as cattle (the bulls) being driven by some ranchers (banksters) from one coast of America to the other coast with some random bear attacks at night when the cattle are sleeping and the ranchers are passed out from drinking too much Whiskey.  The bears get a few of the cattle but the rancher always wakes up the next morning to protect the herd.

So until these cattle are delivered to their final destination and read for slaughter I’d be cautious on the shorting, and instead you might just want to go long once that middle rising trendline is backtest this week.  My best guess is that we peak out on Tuesday in the 1960+ area and then drop back into Thursday or Friday for the low… which again should only backtest the middle rising trendline that we just broke out of last week.  It should be in the 1930 area by Tuesday but with the 10 day moving average at 1923 we could see that hit to trick the bears by piercing the trendline of “now support” (former resistance) on an intra-day move.

It’s common for them to briefly pierce through support and resistance levels I’ve noticed as it lures in the suckers just before the turn and go the other direction.  I think that area just below 1930 is a good entry for a long into the 3rd week of this month as it’s option expiration week and is bullish 80% of the time.  You could probably get long and this Thursday or Friday (June 12th or 13th) and ride it up to that 2000 area which could come as early as by the following Friday the 20th (no guarantee on that time frame though).

Naturally everything I’m speculating on here can change (and usually does… like 100% of the time! LOL), so keep checking the comments for updates as time goes forward as I post any changes there which also get reposted on Twitter and Facebook.

Hang in there bears, you only have another month or so to go…

Red

 

The Scary planetary alignment due on April 21st 2014

Posted: 20 Apr 2014 08:02 PM PDT

 

Mother’s Day Weekend Update by Red

(to watch on youtube: http://www.youtube.com/watch?v=hoYuzvibh3k)

_____________________________________________________

Ali’s Post…

The Scary planetary alignment due on April 21st, 2014 which is synchronized with the upcoming huge financial asset bubble burst! Be ready!

Certain important planetary alignments can be used to project both the minor and major turning points in stock market. In other words, some important planetary aspects can be used as a great timing tool in the stock market activity.

There are two systems of measurement that define the periods of the planets; the “sidereal “and “synodic” systems. The sidereal period is the time it takes a planet to complete one orbit. For instance, the sidereal period of the earth is 365.25636 solar days or Mars whose sidereal period is 687 solar days.  On the other hand, a synodic period measures the period between two successive conjunctions of two planets. For example, the time interval between two successive conjunctions of Jupiter-Uranus is 14 years.

The planetary aspects are created when the important angles of the planets are aligned. As a matter of fact, such angles have traditional names; Conjunction(360 degrees), Opposition(180 degrees), Trine(120 degrees), Square(90 degrees), Sextile(60 degrees), Semi-Square(45 degrees), Semi-Sextile (30 degrees).

One of the most important planetary aspects is due on April 21st or 22nd, 2014 which could be synchronized with a nasty financial crisis.

Actually, It will not be the end of the world though. At that time, Uranus is exactly square (the 90-degree aspect) to Pluto. It is also square to Jupiter and both Jupiter and Pluto are square to Mars. You see, all four planets are either 90 degrees (Square) or 180 degrees (Opposition) to each other. It could be a real scary planetary aspect which might impact the financial markets, especially the stock market BIG TIME.

It is really important to understand that big world events are not necessarily synchronized with the major planetary aspects, the exact date on which they occur. Sometimes a couple of days before or after or even a couple weeks before or after. You have just begun to see the turmoil in the stock market though.

 

May you profit handsomely,

Ali

http://ift.tt/MgV9sa

info@divinechartpatterns.com

_____________________________________________________

Red’s video…

(to watch on youtube: http://www.youtube.com/watch?v=5G9_6ll4e5w)

 

Here’s the link to Raymond Merriman’s interesting post about these time period…

http://ift.tt/1jxzGVP

New Higher High Still Coming Or Lower High?

Posted: 16 Mar 2014 02:00 PM PDT

… by Ali Firoozi Yasar

A shot to the new highs but April is the month you need to watch closely!

As you know, incoming US economic data in early 2014 have been largely disappointing and the Fed blames the weaker performance mainly on the impact of unseasonably cold weather on consumer spending, industrial activity and construction. In January, retail sales data came out well below expectations, existing home sales and housing starts started trending significantly lower, US manufacturing activity also appeared to be decelerating , industrial production declined at the beginning of the year, durable goods orders continued to contract and ISM manufacturing index dropped to an eight month low.

US real GDP is expected to advance 2.8% this year and 3% in 2015, roughly a percentage point above 2013. Actually, the Fed believes the events and factors at play are short-lived and the US economic recovery remains intact. Actually, this bunch of weak economic data has not yet convinced them to let the market drop as it has all been the weather’s fault not anybody else….

As for the geopolitical tensions, Ukraine crisis cannot just be ignored. Actually, it is a global crisis and will not be a one-day news story which will fade away soon. You see, it has a real potential to be escalated real soon. All eyes are on Russia and Ukraine, watching them closely.

As you saw, after a sharp decline to open the trading session on Monday, the markets immediately recovered all over the trading day following Mr. Putin’s latest statement, relieving the buyers who were actually looking for value on the dip, and the buying has been continuing to open up the session for tomorrow so that we can see a shot back to the highs. In fact, buyers are all in control, buying the dip whenever they get a chance and we may also have new all time highs. But how much is it going to last?

In my previous post, I mentioned that the market could exceed the levels on my charts, as I somehow knew the “central planners” would be able to get the situation under control, and then put the blame on the bad weather. But how are they supposed to fight the serious events that are about to come up in April. Yes, you heard me, April! Actually, next month will be a rough month for investors and financial markets. Keep an eye out for the markets around these dates, April 15th, 24th and 29th.

I have repeated over and over again that the market will have to correct on the monthly chart as the cycle has just completed and they (central planners) are trying their hardest to hold it up as much as they can. Whether it is a serious geopolitical tension or a financial crisis which might pop up out of nowhere in April and cannot be blamed on the weather, the stock market will have to retrace a major portion of the gains which has been accumulated since the rebound of 2009. If that does not happen, I will sure need to go back to the drawing board to just find out what is wrong with my cycle analysis.

 

May you profit handsomely,

Ali

http://ift.tt/MgV9sa

info@divinechartpatterns.com

 

_______________________________________________________________________

… by Red

Is this the start of Primary 4 Down or is there one more move higher still to come?

(to watch on youtube: http://www.youtube.com/watch?v=atoahCbWYt0)

Looking at the charts on the various time frames I could argue a case for both scenario’s.  One will be right and one will be wrong so we simply have to play the safest bet which I think will be long around the middle to the end of this coming week… but ultimately we know that the powers that be already know which one will play out and it’s our job to read their minds.

For right now I think we can all agree that the direction is currently down.  But a bottom should appear sometime this week, with the 19th-21st being the idea time frame.  Why?  Simple really.  The coming FOMC meeting on Wednesday the 19th should gives us the clues we need.  Assuming that nothing changes and the Fed’s decide to continue with their plans to withdraw more of the QE money then we should logically expect some negative reaction from it afterwards.  But, as we all know, the market thinks and reacts ahead of the news… which means that “most” of the selling should be about over with by the time the news is released.

I’m looking for a target low of 1810-1815 SPX for the first area of support.  But, I suspect that for that level to work out as being the low we really need to rally some ahead of this coming FOMC meeting.  Technically, we are do for a bounce but with the meeting still in front of us I suspect that we will not bounce any and just continue drifting lower due to the fear of the “unknown” from whatever will be said at the meeting.  So, we could actually drop to that zone going into the meeting instead of bouncing up to an overhead downward sloping trendline of resistance in the 1860 area.

While we know that one should never trade off the news as it’s already built into the charts ahead of time we also should know that with some pending (possibly negative) news lurking just a few days away shouldn’t expect any turn back up just because some short term charts are getting oversold.  The market does react to news as it’s put out their by the powers that be to mislead the sheep in the wrong direction by having something to blame the selling or buying on.  Of course if there was no Fed meeting this week then I’d expect the market to bottom around the open on Monday and start rallying from oversold short term charts… but that’s not the case here!

So, we should expect the market to chop around until the FOMC minutes are released Wednesday around 2:15 pm, with a downward bias of course.  I suspect that we’ll end up dropping to that 1810-1815 area prior to the meeting… which should get a lot more short term charts (and the daily too) in an oversold condition, which means the bottom will be near.

Then once the news is announced that they have decided to “stay the course” (meaning to continue withdrawing money) we should see another move down out of fear (done by the retail sheep of course), which could drop us to the rising trendline of support in the 1790 area.  Bears should be all over it as it breaks down through the “even number” level of 1800 and that’s about when I think we’ll bottom.

I’ve noticed that “Skynet” (the name I’ve given to the super computer that manipulates the market) has routinely pierced through important levels briefly to lure in the last retail sheep just before switching and going the opposite direction.  It should be the same thing for the bulls “if” we rally up to new higher highs in the coming month hit 1900… which of course should be pierced by 5-10 points to trap those bulls long.  While I don’t know if we are going up to new highs or not I do believe the coming low will trap the bears short… which is why I suspect 1800 will be broken briefly.

I’ve seen this happen many times in the past and have calculated that these moves usually last 18-20 calendar days and drop 80-100 SPX points.  They also don’t give use bears many chances to get short with a decent bounce.  While I’d love to see a bounce to that downward sloping trendline of resistance (around 1860 now) we might not see it at all?  That bounce might not show up until after we bottom in the 1790 area, and then it will of course be lower (in the 1850 probably).

I think the thing to do is to see where the market trades at on Monday and Tuesday prior to the meeting.  If it doesn’t fall to the 1810-1815 area and instead chops around in this 1840 zone then we could see some brief rally up to hit that trendline right around the FOMC minutes to scare out the bears that are currently short.  Then a drop to that 1790 area within a couple more days following the meeting.  That would suggest a low by Friday the 21st, which could be the plan Skynet has for us sheep?

The other plan would of course be a continue drop into the meeting with a low in the 1810-1815 area when the minutes are released, followed by some panic selling to the 1790 area, and then a rally back up to start from that day forward into the rest of the week or more.  The only thing I see here that has high odds is that we will continue down more next week and probably bottom in the 1790 area.  Then the rally that follows could put in a lower high (then the 1883 high) or make one last higher high in the low 1900 area.

Therefore the safest plays I see here are to short any decent bounces with a exit low area of 1790 and then get long for a rally to at least the downward sloping trendline of resistance, which should be in the 1840-1850 by then.  After that I don’t know?  We’ll have too see what the charts tell us at that time as well as the propaganda being pitched to us sheep on the main stream media news channels.

If they continue to preach the end of the market scenario then we should expect the resistance to be broken and another higher high is likely.  If they talk about the market going to new all time highs then we should be shorting and expecting that resistance to hold and the expected right shoulder (of what should then make up a nice “head and shoulders” pattern) to become some type of “Wave B” up or “Wave 2” up… meaning a big wave down should follow.

It’s really too early to know which will play out so for now I’ll just be focused on this coming week and will as always give you guys updates in the comment section as things change and play out in real time.  Making forecasts this far in advance are just to be used as a general road map of what to look for… not to trade off.  The charts change daily and the best I can do is tell you what I see today.  Always read the comments for updates.

Red

When will the stock market bubble burst?

Posted: 20 Jan 2014 07:25 AM PST

February 9th, 2014 Update

Why will the huge stock market correction happen real soon?!

…by Ali Firoozi Yasar

I am not being paranoid here and aside from the cycle-work, there are clear reasons that a dramatic decline in the stock market is on the way. Actually, it could strike any day now. The market is just hitting pre-crash tops, we being at the beginning of a new bull market is all over the financial media and companies are still reporting positive earnings but you folks should be aware that the stock market is on the verge of another huge decline.

The annual S&P 500 consensus earnings per- share is expected to come in a lot lower than originally predicted. You see, estimates were so close to $125 in January 2012, and now have dropped 10% to only $112. In spite of the warning sign of declining earnings, the S&P keeps on going up.

The investors and traders are extremely bullish on the stock market now. As a matter of fact, the reading is getting close to a 10-year high, and most of you guys can tell from experience what happens if market sentiment is at extreme levels one way or the other. If the small traders are so bullish, you’d better be cautious. You know better than anybody else that what happens to sheep?! Sheep gets slaughtered.

Actually, I could name many other factors but now we have enough evidence and clear reasons (aside from my work) that the stock market is awaiting a drastic correction which could result in a dramatic stock market decline,  50% unemployment, and 100% annual inflation starting this year.

The charts I showed you in my last post the general trends of the market. In other words, the market may or may not exceed the levels I indicated on the charts. Actually, I only wanted to warn you guys to be prepared for the “unthinkable”.

I hope, you guys will consider this a wake-up call, especially those who are not prepared or willing to admit an ugly truth.

May you profit handsomely,

Ali

info@divinechartpatterns.com

http://ift.tt/MgV9sa

 

_____________________________________________

February 3rd, 2014 Update

…by Ali Firoozi Yasar

As most of you folks are ware, we have recently received important news about the economy: GDP, Weekly jobless claims and pending home sales data and also an additional $10-billion QE tapering through the FOMCs latest statement.

S&P500 Daily 6

The annualized GDP rate sounded OK. Consensus was for a reading of 3.0% but in fact, the 4th Q estimate 22% in three months. The weekly jobless claims were supposed to show a reading of 327,000 but the actual data was a bit quite worse, at 348,000 new jobless claims. And eventually, the pending home sales data came out which was really terrible! You see, economics’ consensus was for a small depression of -0.5%; however, the actual release was  -8.7%.

Please check out the chart No.1 below. As I had already anticipated, the market topped out and the prices kept on moving down, finding support at the 1761.00 area. You see I am not so precise on the charts as I solely intended to show you the model, not focusing on the exact  price&time levels.

S&P500 daily M4

Now check out chart No.2, even though the markets will do what they are supposed to do, the main- stream analysts and advisers attributed the brief rebound on January 31st to the better then expected GDP figures and they would still like to see if the rebound is able to maintain the momentum to the upside, hoping the prices will go to the Moon, not knowing there are not many buyers left and it is time for a good break.

The prices will bounce real soon, back-testing 1810.00 area in order to suck in more retail traders, or we could see the market rally briefly, then a sideways chop, after that a drop to the lower levels as indicated on the chart. You see, my business cycle suggests that the U.S economy is ailing now; you may also see bad earnings reports during the coming days, adding fuel to the flame, consequently the market will have to correct and have a good break before it starts recovering again.

May you play it safely and profit handsomely,

Ali

_______________________________

 

When will the stock market bubble burst?

…by Ali Firoozi Yasar

Hello folks!

Hope all is well with you guys.  I know it has been a long while since I last posted on Red’s blog.  I have been super busy at work, so my apologies for the long absence.  But now it’s important to get you all this update as the time is near.

The stock market is at a critical moment!  Goldman Sachs has suddenly decided to warn all of us that the stock market could decline by 10 percent or more in the coming months!  But are they just honestly trying to warn their clients that the stocks have become overvalued at this time or is it just another agenda at work?!

Whether it is an agenda or not the stock market has just entered a very dangerous zone.  Stocks are massively overpriced and investors have been borrowing huge amounts of money to buy stocks.  Consequently, the margin debt at the New York Stock Exchange is truly at a crazy level!

These kinds of behaviors and signs actually indicate that another bubble burst is on the way.  On top of that the state of overall U.S. economy is getting worse while the market is soaring to new highs.  It is not a good sign folks.  The U.S economy is in a very bad condition now, in fact it’s in a much worst condition then it was the last time we had a major crash back in 2008.

Employment is much worse now that it was at that time and the U.S banking system is more ailing with more debts than it was back then.  It owed about 10 trillion dollars but today the debt has increased to more than 17.2 trillion dollars.  The market keeps on fooling the masses with this illogical bubble, but this “fooling” can’t continue.

I highly suspect this massive stock market bubble will not last for much longer, and a lot of financial market experts are now advising and warning their clients to prepare for a substantial pull-back.  You see the market was manipulated by the Fed in early August when a dramatic decline was due.

A lot of people had already been aware of that, which was probably the reason for the delay until now.  The bottom line is… the energy of the current run has fully been drained and the Fed is not able to fight it any more.

Actually, it can be likened to a man who has been holding a big weight over his head for a little while but now his energy is getting depleted.  So he takes a quick shot of Adrenaline to keep him going a little longer (aka “more printed money secretly injected into the market… [most likely]), and you know it’s his 4th, 5th, 6th shot or more?  With each time the effects last a shorter time compared to the one prior, and I think this is the last shot before the weight is dropped!

S&P500 monthly(business model) copy

As mentioned above, the market was manipulated by the Fed in early August and it has been tolerating the burden since then.  They are not able to hold it up anymore.  This is actually what I see in the S&P500 based on the cycle work and harmonics.  I am afraid I cannot give out much information here as it could be leaked and copied.

S&P500 daily2

I believe the market will put in another high but the length of the rally will be relatively smaller, then a sharp decline to the 1350 area is possible.  After that, a rally back up to new highs (the 2100 area is very possible) will probably follow.  You see, it can be a huge opportunity to enter the market with a large short position when the time is right.  As soon as the decline kicks off there will not be a major pullback to re-enter so you would want to make sure not to miss the ride at the very top.

S&P500 weekly2

S&P500 monthly3

May you profit handsomely,

Ali

Email: info@divinechartpatterns.com

http://ift.tt/MgV9sa

____________________________________________________________

The Date For The Coming Crash Has Been Given To Us By The Elite Themselves

…by Red

(to watch on youtube: http://www.youtube.com/watch?v=g3kZh_RjXjA)

Email me for password…

red (at) reddragonleo (dot) com

[protect password=”1440″]

Last Thursday and Friday we seen the start of a very nasty correction that is coming and should last all of February and into early March before bottoming.  While I did not know the exact date of the top it appears now it was last Wednesday, January the 22nd.  In my previous post I mentioned that it was possible that traders would start selling off a week or two ahead of the coming FOMC on the 28th and 29th, as well as the debt ceiling deadline on February 7th… and it looks exact like that’s what’s happened.

From here I’m now expecting a short term bottom sometime Monday and a rally into Wednesday the 29th when Bernanke speaks.  This rally should take us up to the 1825 SPX area to just under the 1850 prior high.  There’s a downward sloping trendline there that should stop the bulls on this bounce, which will be some type of wave 2 up with the recent selloff being the wave 1 down.

2014-01-26_1557

The price level isn’t as important as the time period as we know that around 2:15pm on Wednesday there is extremely high odds that the rally will end shortly before the FOMC minutes are released.  Whatever Bernanke says I fully expect it to be negative for the market and will start the wave 3 down into Thursday and Friday of this coming week.  I would expect the current low of 1790 to be taken out on this next wave down.

This will be Bernanke’s last speech before the new woman takes over as Fed Chairman.  I previously speculated that the big downturn move would happen either at the FOMC meeting on the 29th or the debt ceiling deadline on February 7th.  Looks like it’s going to be the 29th for nasty wave 3 down to happen.

Then when the 7th comes up and they are unable to reach an agreement I’d expect another dump to happen.  However, if we rally early this week as I expect and then dump from Wednesday to Friday I’d expect some type of bounce the following week on “hope’s and prayer’s” that they will say something positive on the 7th to end the selloff.

But I doubt that will happen as I believe the elite themselves are giving those of us awake and listening the exact road map of what is coming.  In this video by IMF head Christine Lagarde she (strangely) starts off her speech by discussing numerology (fast forward to the 6:30 minute mark and start playing the video), and she talks about the importance of the number “7”… which she makes reference to by saying the following quote:

“2014… drop the zero, 14… 2 times 7… that’s just by way of example”

(to watch on youtube: http://www.youtube.com/watch?v=ZUXTzVj5-uE)

Really?  Example my ass!  You are clearly saying that 2-7-14 is an important date!  That’s February 7th, 2014 of course, which is right in the middle of the 3 day Legatus meeting held February 6th to the 8th, and also happens to be the debt ceiling deadline date.  Do you believe in coincidences?  I don’t… not with all the other “buzz words” that she drops in her speech.

  • 2014 will be a magic year (meaning what?  will you pull a rabbit out your hat?  will you steal money from the sheep without them seeing you do it?)
  • 100th anniversary of the first world war in 1914 (strangely when I researched what happened to the DOW back then it was closed down for several months due to the first world war starting.  are we expecting the same here? REFERENCE: http://ift.tt/1wwQpyb )
  • 70th anniversary of the Bretton Woods Conference that gave birth to the IMF. (The delegates deliberated during 1–22 July 1944, and signed the Agreement on its final day. REFERENCE: http://ift.tt/1zKjCtQ Not sure what the hidden message was here?)
  • 25th anniversary of the fall of the Berlin wall (Destruction date: November 9, 1989… but what is she hinting at here?  Is the “buzz word” the “25th”or the “fall”?  Does the 25th mean a certain future date or does the word “fall” indicate that the market will fall hard?)
  • 7th anniversary of the financial market jitters. (again with the focus on the number 7… meaning what?  are we looking for another move down similar to 2008?)
  • The crisis still lingers… (clearly this means we are going down again)
  • It will not happen randomly… (of course not, it’s always planned)
  • “Global growth is still stuck in low gear” (Hmmm… just a fall guy to blame I guess?  We tank and it’s the fault of slowing global growth)
  • It will not be without downside risks, and significant ones (referring to inflation… or was it really meant to refer to the stock market?)
  • We are seeing rising risks of deflation… (good for us sheep but bad for them)
  • Global growth slowing down as the economy cycle turns… (the “buzz word” that stands out to me there is “cycle turns”)
  • Risk of capital runs… (You really mean the gangsters are moving their money out the market before the collapse)
  • Dry run back in May of 2013… (Ah yes, the old test where Bernanke hinted at pulling money out the market last year)
  • There could still be some rough waters ahead of us… (another clear warning that they plan on taking the market down)
  • Overall, the direction is positive (meaning after the downturn the market we’ll go back up again, which should be a final Primary Wave 5 up with this coming correction next month being a nasty Primary Wave 4 down)
  • 95% of the income growth went to the top 1% (Duh… nothing new there as that was always the plan!  Steal from the sheep and give to the wolves)
  • Tapering will have too be very well timed… (again, she’s clearly staying that we are going to withdraw money from the market)
  • Central banks will have to “undo” what they’ve done… (and again, more references to cutting back the stimulus?)
  • Removing the threat of the debt ceiling… (meaning what?  They won’t set one, or make it unlimited?  I don’t know what she means with this sentence?)
  • A stress test will be done in 2014… (Why?  You already know the banks would all fail.  I guess they have to blame the correction on something)

Ok, there your shortened version of what Christine Lagarde is really saying to us sheep.  By now you should be about 99% confident that we are going down hard this February.  They’ve clearly told us sheep the truth and you can’t blame them if you weren’t listening.

Then there’s this late find by dchrist81 on the last post (http://ift.tt/1YMQC3I) that I find very interesting as the Olympics start this coming February 7th through the 23rd (http://ift.tt/16CUbth).

(to watch on youtube: http://www.youtube.com/watch?v=08_8cfysk-Y)

Now I really don’t think we are going to have another False Flag event in the Olympics but I must say that it starting on the 7th with Legatus on the 6th-8th and the debt ceiling on the 7th is some might strange coincidences.

Red

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