SD Midweek Update: Major market mayhem! On the surface are the usual culprits, but underneath the surface, there’s a specific reason for the mayhem…
Major market mayhem.
There is no shortage of explanations, nor experts willing to offer them.
Everybody’s got a theory about what’s going on.
To name just a few, here’s what has been blamed so far:
- Trade War Turmoil
- Plunge Protection Team Stepping-in To Rescue The Fall
- Manipulated Down-move To Get Fed To Cut Interest Rates
Here’s a question: Is the stock market mayhem really just simply happening because of the whole “there is a trade deal, there is not a trade deal” drama, which, coincidentally, has been going on for years now?
If anything, the trade war excuse provides an easy “out” for simplicity’s sake, yet without profound understanding.
On the topic of the Plunge Protection Team, could it be that the PPT is stepping in to save the “market” because the timing of this decline is off, as in it’s still too early?
We could very well be seeing some of that, but then again, the cartel could also be making some “dry runs” so to say.
As far as being a manipulated move down, coming from the Trump Administration in one form or another, are we seeing a manipulated, manufactured “panic” so that the Fed will cut interest rates sooner than later, as in immediately, which is exactly what Trump is calling for?
We could be seeing some of that, but if we are seeing some of that, in my opinion, it is all just part of the Deep State Globalists following the script.
I think it’s too early to understand exactly what is going on in the stock market, but sure, those things could be part of what is causing the turmoil, but the root of the cause really comes down to a matter of timing.
I think the plan is to bring the stock market down, along with bringing-on maximum economic misery and financial ruin to America, so this manufactured stock market drop/crash/decline will be timed to the 2020 election, with Trump being the Fall Guy, and it will be timed that way so it appears President Trump legitimately loses the election, which then leads to someone even worse than Hillary being ushered into office, at which point the United States will squarely be on the fast-track to Camp FEMA, USA!
And we’re just begging for the prison walls to be built around the entire perimeter of Continental United States!
So the planned stock market crash really comes down to a question of “when will it happen”?
I don’t know.
I would never get invited to become a member of any club, let alone one that’s pure evil and corrupt to the core, nor would I join it if I was invited, so I’m not one of the people “in-the-know” as to the timing of all of this.
I will say this, however: The beginning of max pain in America must happen very soon because it takes time for the pain to really sink in, and we are now only 1.5 years away from election day, give or take a few days, so from now through November, 2020, I’d be on the look-out for increasing misery.
Here’s an honest question, and I asked it yesterday via Twitter:
It really is as simple as that.
We have a bunch of evil, corrupt people running our government, the banks, the Fed and more, and if you are not one of those people, then you are a chained dog.
I’m a chained dog too.
In time, you’ll learn to live with it.
There is hope, however, because the suffering has only made us stronger, and now we’re nearly strong enough to snap those chains.
OK, “Hey Half Dollar, everybody knows the Fed isn’t in there buying S&P futures, and besides, you’re just some nut-job who thinks the markets are constantly manipulated!”.
Uh, we are talking about the same central bank, the Fed, aren’t we?
The same Fed that is a card carrying member of the cartel, right?
The same Fed that will not crack-open its books for anyone?
So how exactly do you know there is no manipulation?
When you are both not in the evil, corrupt club.
And you haven’t read the Fed’s cook books.
It’s best to assume 24/7 market rigging.
Over just every once-in-a-while.
Just like our military does.
To sovereign nations.
The cartel does.
To all markets.
Here’s a look at the stock market turmoil over the last few days:
The red lines are the plunges at the opening bell, with the trade wars being the principal scapegoat, and the blue lines are the impressive “recoveries”, with the Plunge Protection Team being the oft-cited for the “saves”.
Technical analysts will say this is massive damage in the form of a “break-down” on the stock market’s daily chart:
The stock market lost its 50-day moving average yesterday, and there are traders out there who make “buy” and “sell” decisions based on, in part, whether stocks are priced above their 50-day moving averages (“buy”) or below them (“sell”).
On Monday I said the VIX was looking perky, and I have to say, the spike in the fear gauge is impressive:
It really is hard to get a sense of what is going on right now – the small caps (the Russell 2000) and the Dow Jones Industrial Average have yet to hit new all-time highs, which traders would call “non-confirmation”, like in not confirming the move of the S&P 500 when that index made fresh all-time highs, but with the turmoil in the markets and a spike in the VIX like that, the Russell 2000 and the Dow may have lost their chances at new all-time highs.
If I’m right about Trump being the Fall Guy, then the stock market wouldn’t be reaching all-time highs either because that’s not how one goes about bringing maximum financial ruin, so this could be just a dry run, or it could even be extreme hubris in that the Deep State Globalists (a.k.a. the “cartel”) think they have more control over the markets than they really do.
Having said all of that, when you can print unlimited money and don’t have to show your books to anybody, which the cartel can print and doesn’t show, there is money to be made every day in having control of the “markets”, so we may indeed reach all-time highs based on their greed, or all-time highs could still be reached based on the need to have as many of the Red Hats as possible believing in the MAGA lie, so when the Red Hats turn on Trump, they turn in force.
If the stock market keeps dropping, look for yield on the 10-Year Note to keep dropping as well:
Conventional “wisdom” says to buy bonds when there is chaos in the stock market, and all of those people buying bonds will bid up the price of the bond, which drives the yield on the bond down as the bond price and interest rates move the inverse of each other.
Just know the conventional wisdom will be wrong, and I think they’ll be wrong sooner than later.
The dollar is not acting as a “safe haven” during this stock market turmoil and spiking volatility:
The conventional “wisdom” of the dollar being a safe haven will also be proven wrong.
Copper is just kind of hanging-out as this all plays-out:
I have not been looking for a triple bottom, but what is taking place in other commodities is not re-assuring for my confidence, so I might be wrong in the short-term.
Crude oil’s price is sitting right on its golden cross:
If you haven’t checked-out this post where I demonstrate just how simple it is for Trump to smash the price of oil and make it appear like the price drop is all because he is strong-arming OPEC, then I would recommend doing so because it relates to my fall guy theory in the sense that it first appears that Trump is in control of the oil market, while later on he will lose control of it.
Translation: Get ready for pain at the pump.
Palladium looks to be at risk of a break-down:
However, if palladium is in a sideways channel, which I think palladium is, and that sideways channel is between $1300 and $1400, then we very well may overshoot $1300 to the downside just like we overshot $1400 to the upside.
Platinum is still riding its 50-day moving average:
It may be an ugly bottom, but platinum has indeed been carving out a bottom over the last 52-weeks.
The gold-to-silver ratio is still a no-brainer for those stackers without deep pockets:
People often talk about a “once in a lifetime opportunity”, and the gold-to-silver ratio arbitrage opportunity may in fact be the most opportune of all when it comes to what will literally be “free money”.
Learn the gold-to-silver ratio and the arbitrage opportunity, but also understand this: It’s like the Beastie Boys once said, “you’ve gotta be in it to win it”.
Gold is looking to retake $1300:
That still hasn’t stopped the $1150 calls, however, but I do think we have bottomed.
It looks like ‘Ol Half Dollar nailed the bottom in silver:
My target to the downside was $14.50, and we traded to, if I recall correctly (that spike low, 5th from last candle) $14.57, so I do think the bottom is in for silver.
Speaking of bottoms, what’s the bottom line for where we find ourselves on this beautiful Wednesday in May?
Well, first and foremost, we’ve already done a video and audio test, so check out our live-stream at noon, which should start on-time and without technical difficulties:
We’ll be talking market chaos, taking questions in chat & more!
It seems like this is turning out to be a pivotal week.
If it takes six months for the pain to really kick-in.
That puts the timing around Thanksgiving.
And it makes sense, because, well.
It’s before the 2020 US election.
And the last holiday season.
Deep State Globalists.
Are now beginning.
– Half Dollar
About the Author
U.S. Army Iraq War Combat Veteran Paul “Half Dollar” Eberhart has an AS in Information Systems and Security from Western Technical College and a BA in Spanish from The University of North Carolina at Chapel Hill. Paul dived into gold & silver in 2009 as a natural progression from the prepper community. He is self-studied in the field of economics, an active amateur trader, and a Silver Bug at heart.