Hey everyone hope the start of your week is going well. We wanted to just get a quick note out here with some updates on the technical’s and of course our subscriber data updates. We can’t help but think that the fiat monetary regime continues to be heavily discounted by the global market place and its evident with the massive outperformance of the metals complex and crypto currencies. Here is a chart our subscribers get in their data package just look at Silver, Gold and Bitcoin YTDs:
This devaluation of fiat will continue to punish the general population who own little to no real wealth and are heavily subjected to the forces of monetary inflation, degrading their purchasing power, degrading their wage utility and continuing a vicious cycle of taking on more and more debt just to survive. Almost seems like this is the technocratic plutocracy’s plan of action, in fact it just seems so obvious. We really do not see any end to this game other than complete monopoly by the select few.
We often talk about the bifurcation of our economy, where we can see higher and higher stock market indexes, higher concentrations of wealth and massive unemployment. The data has been well masked up until this point, but we believe the next year will change in regards to the overall job outlook.
What the massive rise in the price of metals says to us is that nobody trusts our governments to actually act fiscally responsible. A populace generally conditioned to expect government deficits to be masked with monetary printing presses. Where does it all end? Maybe it never does, maybe the end of the road never comes, especially when so many expect it too. This is what makes future planning so difficult, you never really know how far out of line something can get or how long it can actually stay there. We feel its decades at a time and its why its futile to actually explain short term movements via large systemic decadal issues that have been at play for a very, very long time.
With the concentrations of wealth at massive disproportions, its probably safe to say, no prior economic principle matters anymore, all the old metrics and ratios are worthless because so few have so much and effectively have cornered all the important markets in a “never ever have to sell or monetize” fashion. Think about it, those that own the majority of equities, assets, why would they ever have to sell, there are so many outlets to query secondary encumbered funding programs. So for those of you always thinking things are overvalued, just ask yourself, “over valued by what metric? Because the way we see it, there are no reserve requirements anymore and thus in the U.S. there are some $18.418 Tn in deposits and growing, and never shrinking for very long:
Today’s value of deposits is some 40% higher in just 5 years, that’s a 7% annualized inflation rate folks…that is your true inflation and the law of large numbers is heavily in favor of keeping a very few very very wealthy while everyone else gets wiped out. That is your new Republic, that is the new America.
Ok on to the technical charts
QQQ ETF we like the bullish move and would expect a test of 612 but below 603 changes that outlook this week:
Nasdaq Futures seem poised to test the 25400 area but we suspect sellers are up here waiting for a catalyst, but the bulls are in control above 24800:
SP500 Futures toggling the base of the prior trend channel, a move below 6675 flips the market tone back lower:
Crude Oil Futures are now below the bull/bear pivot giving the sellers the advantage here, it will be interesting for equities if we start to see oil tumble:
Gold Futures continue to punish fiat currencies as the safe haven has become heavily sought after:
Silver Futures posting a steep incline rally here as resistance after resistance gets taken out:
Yen Futures should continue to weaken here now below 68.50:
We will continue to expect to see the Yen under pressure, especially given the new leadership as Sanae Takaichi, 64, won the Liberal Democratic Party leadership election on October 4, potentially positioning her as Japan’s likely first female prime minister. Takaichi is considered a right wing conservative and most likely bullish for the Nikkei and bearish for the Yen.
Alright guys onto the subscriber only data section. We hope you consider checking out our work here as we know it will improve how you tackle your own investing and improve your mindset on how to analyze and assess overall market moves. We cover a lot of different markets and we believe it is well worth the value! Subscribe and follow if you can, cheers.
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