Market Crash now ‘likely’ by the end of April! Why?
The Yellen Fed (including today’s policy statement) plus the confusion over rates (up or down), specific words (patience and data dependency, etc.), current deflationary trends, and our bubbling stock markets reveal that ‘confidence’ is waning within all our global markets (fast). I now expect increasing volatility in all our global stock exchanges and all our various indices going forward. This will lead to a serious loss in trader ‘confidence’ soon! Personally, I think the evidence points to a serious crash in our markets some time soon (likely by the end of April, 2015). Confidence is the KEY to our realtime trading markets and ‘confidence’ is waning fast and furiously! This will be more evident in the coming days and weeks!
Yellen’s news conference reveals more uncertainty and subjectivity! This can not lead to trader ‘confidence’ going forward!
Our elite Fed policy makers are now totally confused on what is happening within our global economy and this is evident from the WORDS emerging from the mouth of Janet Yellen today. Janet and her policy elite are unsure of events and this subjectivity was revealed (to me) as I listened to her responses to the media at her news conference. Her resort to the concept of ‘unscheduled’ news conferences (if necessary) reveals that she has NO idea what is happening within our markets! Her desire to postpone and rate increases (for now) reveals that she surmises that economic conditions may be more dire than the DATA reveal. Her entire demeanor IMO is very confusing and suggests serious ‘uncertainty’ in her thinking! This will reveal itself IMO in more market volatility and eventually (within weeks or less) of a huge LOSS in trader ‘confidence’!
Santelli’s comments reveal his uncertainty and confusion about where the markets are going! This was evident (today) among all the commentators!
What we need to understand is the subjectivity within all our markets today. Our money is a subjective unit of nothing. Our policy makers are revealing their subjective uncertainties as they speak. All our Central Banks are using tactics (QE, etc.) which promote more bubbles, volatility, and more uncertainty. The subjective (uncertain) nature of all policy decisions is rather evident to any discerning follower of our markets. This fact, along with the fact of a fiat/cyber/imaginary Dollar, reveals that all our policy makers have NO clue as to what will work going forward! One minute they think that conditions are improving and another minute they realize that conditions are deteriorating. How can this mentality lead to ‘confidence’ going forward? I would suggest that it CAN NOT!
Greenspan, Paulson, Soros each and ALL reveal that they have NO clue as to what is happening within our greater markets today! This subjectivity and uncertainty will lead to a flash CRASH eventually (soon)!
Prepare now for a coming flash CRASH in the DOW index and this will lead to a CRASH of many additional indices in short order. Our markets are now functioning with speed of light ALGORITHMS as tools to execute trades. Once these ALGOS (collectively) are programmed to SELL a particular market or a particular index, the FLASH crash is on. This then leads of a further LOSS in trader ‘confidence’ which leads to further FLASH crashes within hours, days, or weeks. People do not respond to what is happening today but programmed ALGOS act spontaneously and without any human correction. Yes, our markets are now very vulnerable to sharp changes in psychology and the likely change from now on is a downward trend. Watch and let’s see what happens in the next six (6) weeks of trading! I am: https://kingdomecon.wordpress.com.