I first found macro trends using sin waves then took bar patterns that would best fit the waves in the future. I hear that 2008 never fully played out and crypto was developed to act as a reserve pool to trap retail buyers during the technology's genesis. I have no doubt crypto will be utilized in the future, as globalization will require a quick payment system and global currencies will eventually exhaust themselves competing for hierarchal power. The giant spike you see will mark the full adoption of crypto. US markets will eventually accept bitcoin as a standard and use the stock market as a tether in order to distribute liquidity around high-tech companies quickly. Eventually, there will be a dark period but the market will rebound. I believe long term investing (20+ years) will end and force people to become more financially conscious. This wave will cause volatility like never before seen. People will lose money over and over, giant gains left and right while algorithms constantly glitch trying to grapple a balance between the casual and formal behaviors of spending. The future is obviously tech based, and software engineers will be the most valued in the workforce. They will be responsible for controlling this system, and failures will be painful.
The chart I cooked up shows that you will lose eventually if you sit back and don't keep an eye on everything. Each candle represents one week, so you have a lot of time. Yes, I understand this prediction is just a prediction. I make this because I want to spread the idea of what COULD be. But in a philosophical sense, what COULD BE is nothing but a waste of time. Yet, there is something unique about current financial times. All current problems are problems that history has confronted before in some sense (pandemic, inflation, supply shortage, and war conflict), but never has history shown us what happens during a technologically advanced world. Crypto is a main player here, and its purpose for creation is still in a fog.
The main objective for the fed is a 'soft landing' and Biden recently stated his number one domestic priority is inflation. This language is important. In order for a soft landing to be accomplished, it would take years. A recession lasts 11 months on average with stagflation lasting 1-2 years. However, the duality of crypto and stocks creates a problem, and how people choose to invest their money is a shot in the dark for economists aimed at plausible predictions. Stagflation is merely a point in time where inflation is combined with a decline in GDP. Covid is still on the radar, believe it or not, and Asia is still terrified of breakouts. EU wants America to make Covid a top foreign priority through increased global spending, and crude oil prices are set for a breakout.
The green pattern you see is merely a possibility if the fed gets a handle on inflation by mid 2023 and restarts quantitative easing. With the fed reducing their balance sheet in June, unemployment within range for a stable increase, rate hikes (75 bps now on the table), and quantitative tightening, I would be surprised if they could accomplish a goal, that has yet to get fully started, in a full year. I think the market is due for a long bleed. I recommend hedging with inverse etf's like FAANG -3x leverage (FNGD), SPXU, or SQQQ. Playing the VIX funds is a little silly after 2023 unless you're really confident in trends. I don't think precious metals are good either. During 2008 crisis everything dropped because that's what a financial crisis entails. I think our next crisis will come sometime between 2023-2025 and mark a historic bear market period. The only way I see someone profiting from such an event will entail inverse funds, puts, covered calls, or rare biotech. This kind of environment is brutal. And perhaps if you're patient enough you can buy the bottom and ride a couple month-long wave up.
The chart I cooked up shows that you will lose eventually if you sit back and don't keep an eye on everything. Each candle represents one week, so you have a lot of time. Yes, I understand this prediction is just a prediction. I make this because I want to spread the idea of what COULD be. But in a philosophical sense, what COULD BE is nothing but a waste of time. Yet, there is something unique about current financial times. All current problems are problems that history has confronted before in some sense (pandemic, inflation, supply shortage, and war conflict), but never has history shown us what happens during a technologically advanced world. Crypto is a main player here, and its purpose for creation is still in a fog.
The main objective for the fed is a 'soft landing' and Biden recently stated his number one domestic priority is inflation. This language is important. In order for a soft landing to be accomplished, it would take years. A recession lasts 11 months on average with stagflation lasting 1-2 years. However, the duality of crypto and stocks creates a problem, and how people choose to invest their money is a shot in the dark for economists aimed at plausible predictions. Stagflation is merely a point in time where inflation is combined with a decline in GDP. Covid is still on the radar, believe it or not, and Asia is still terrified of breakouts. EU wants America to make Covid a top foreign priority through increased global spending, and crude oil prices are set for a breakout.
The green pattern you see is merely a possibility if the fed gets a handle on inflation by mid 2023 and restarts quantitative easing. With the fed reducing their balance sheet in June, unemployment within range for a stable increase, rate hikes (75 bps now on the table), and quantitative tightening, I would be surprised if they could accomplish a goal, that has yet to get fully started, in a full year. I think the market is due for a long bleed. I recommend hedging with inverse etf's like FAANG -3x leverage (FNGD), SPXU, or SQQQ. Playing the VIX funds is a little silly after 2023 unless you're really confident in trends. I don't think precious metals are good either. During 2008 crisis everything dropped because that's what a financial crisis entails. I think our next crisis will come sometime between 2023-2025 and mark a historic bear market period. The only way I see someone profiting from such an event will entail inverse funds, puts, covered calls, or rare biotech. This kind of environment is brutal. And perhaps if you're patient enough you can buy the bottom and ride a couple month-long wave up.