bryonss

Yield curve inversion and Morgan Stanley prediction

bryonss Updated   
SP:SPX   S&P 500 Index
Morgan Stanley predicted end of economic cycle in 2021. www.morganstanl...-cycle-end.html?cid=232071...

And it looks like a yield curve inversion will occur in 2019 or 2020. fred.stlouisfed.org/graph/?id=T10Y3M

I combined the above ideas and drew a green line staying in the current bullish trend channel. I drew a red line showing a delayed bearish reaction after a yield curve inversion. Recessions usually follow 3-22 months after a yield curve inversion. The red line shows a drop to a support line by 2021 and then a rally in anticipation of a new economic cycle.
Comment:
This app makes a ten year forecast of S&P 500. It predicts a rise to 3200 in 2019 and then sideways market (between 3000 and 3400) until year 2028. play.google.com...re/apps/details?id=com.sto...

If the app's forecast came true, it would defy expectations of a bubble followed by a crash. However, the anticipated actions of the Federal Reserve actually could resist the bubble and resist the crash. So, it is possible to have a sideways market for a decade.
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