On The Heels Of A False Flag: If There Is One This Week, Can The Markets Withstand It?

SD Outlook: The evidence suggests we are on the cusp of some sort of “event”. Here’s what is going on, and what it could mean for the markets…

Tensions have risen dramatically over the weekend with the situation in Syria. The latest reporting came on Sunday evening from the Wall Street Journal which claimedPresident Bashar al-Assad of Syria has approved the use of chlorine gas in an offensive against the country’s last major rebel stronghold.”

Looking through the archives, we see the situation in Syria is something that has escalated, not in just the last two weeks, but in reality, this latest round of escalation was started back in mid-June.

Here’s a quick recap of the time-line of events:

Since the end of August, the situation has rapidly deteriorated.

We have Swamp Creature and warmonger Nikki Haley, US Ambassador to the UN, stating if chemical weapons are used, then they will be used by Assad, essentially placing blame on Assad even before any incident takes place. Hear it for yourself:

Not only that, but we also have increasing war rhetoric from President Trump himself:

Notice some key words and phrases there “recklessly attack Idlib”, “humanitarian mistake”, “human tragedy”, “hundreds of thousands of people could be killed”. Those are phrases used to set the stage for war. For example, is one chemical attack in Idlib going to kill “hundreds of thousands”? Of course not, that is World War III talk right there.

So this is not something that has been brewing for just a couple weeks, but nearly three months, from about the time the US re-authorized funding of the White Helmets, and enough time to develop mission scope, the mission itself, and a contingency plan.

This is crucial information to understand: It is al-Qaeda who are the “rebels” in Idlib, and with the rested and freshly funded White Helmets, well, we know those two groups are literally one in the same:

So the bottom line here: Tomorrow is that all important anniversary, and the Deep State has been setting the stage for something to pop-off in Syria for several months now.

The pertinent question is: Will this week culminate in some sort of false flag that shakes the economy?

Furthermore, since all eyes are on Syria, is it possible some sort of false flag comes out of nowhere from an unexpected place?

On the calendar, we see it is a typical mid-September week.

Some Fed Heads yapping and some data dumps:

The PPI on Wednesday will be important to watch, because if everybody recalls, in last Friday’s August BLS Jobs Report, wage growth came in “scorching hot”.

We continue the Fed Heads and the amount and type of data gets very important to end the week (CPI – inflation, and Retail Sales for example):

Lately, no matter how the data comes out, it is always spun positively, which, oddly enough, even goes against what would normally be the case with an anti-Trump mainstream media, because President Trump spins it all positively as well.

Well, actually, he doesn’t just spin it positively, he loves it on the daily:

And to make a point about all this “booming economy”, especially when seeing things like:

Here’s the thing –

Wages rose, according to the government, in August, at a year over year 2.9%, which, oddly enough, is the exact year over year percentage increase as the last official government inflation (CPI) report, so essentially, at the very best, wages are flat.

But I digress.

Can the economy, being cheer-leaded from all sides, withstand a major false flag, a false flag hoax, or an actual terrorist event?

We might soon find out.

Nonetheless, we can also see that Peak Trump is still going strong:

Of course, what should we expect when we have the greatest economy, ever?

It is only then natural to have the greatest President ever.

If fundamentals matter, we have several fundamental dynamics that are about to start making their presence known, and fundamentally speaking, they are not good news at all because I’m talking about something that would bring on death and destruction, pain and suffering (or the simulation of those things if there is a hoax).

Moving on to the charts.

Here’s a closer look at that gap up and continued elevated gold to silver ratio from last week:

Every print is above 85. That’s screaming at the top of it’s lungs to “buy silver” right there.

Gold has traded lower overnight and into the morning:

We are looking set to open down today to start the week, and that is without any major data dumps hitting the tape this morning either.

Because of that ratio, however, silver looks to be set to open higher to start the week:

Is silver signaling the last opportunity to purchase at 85 to 1?

When I say last opportunity, I mean for the cycle.

Obviously after many years once the parabolic, melt-up move reaches a peak, assuming market dynamics for the last 40 years, the ratio will start moving back up again, but it is when the ratio has fallen to its lowest when the arbitrage play really kicks in.

Palladium has been consolidating, but looks to start the week higher:

Granted, when I say “higher”, just like with silver, we’re not talking about opening higher by much.

Platinum has no clue what it wants to do as overnight and this morning marked a behavior of indecision:

The risk here is putting in yet another lower-low.

But like I said last week, I’d welcome it, just to flush out the very last people who have been holding on and can no longer take the pain.

Crude oil is starting to look, well, interesting:

I have been calling for $80 crude to end the year, but over the last week, the 50-day moving average started pointing down again, so we’ll have to monitor price here. We see that the gap is closing between the 50-day and the 200-day, and we all know what a “death cross” means. If you don’t, look up to the gold chart above and notice when the blue line crossed below the red-dotted line. That’s a death cross, and it’s very bearish, and the one in gold has been particularly brutal.

Copper looks a lot like platinum here where we could be at risk for putting in a new, lower-low:

All things considered, the commodities don’t look very bullish right now.

The Dow has been slinging to right around 26000:

Recall, the Dow is the only one of the majors to not put in a fresh, all-time high. I’m still keeping my conspiracy theorist approved top call, so I’m monitoring heavily for Dow 26669.XX. If we get a close like that, then the signal is made to the globalists.

Other than that, speaking without a tin foil hat, while the Dow has basically held on over the last couple of weeks, the Nasdaq, S&P 500 and even the Russell 2000 all had significant pull-backs, so it’s “put up or shut up” for the Dow so to say.

Of course, the stock market is still getting help from a VIX that is below 15:

And it will be necessary to work it even lower if the Dow is to make one final surge here.

The dollar continues to be range-bound:

Overnight and into this morning saw a slightly higher to now looking to open slightly lower dollar.

And we know the 10-year is in a range where traders have now come to expect it:

Call that range 2.8% to 3.0%, where every time we get up to 3.0%, yield comes back down. If, however, we are going to see one final push in the Dow, we would be looking to see yield move up to 3.0% as traders sell risk-off assets (bonds) to buy risk-on assets (stocks).

So how do we sum up this week?

It is always tricky when we have the anniversary of we all know what. We are in prime time season for a false flag attack, and with the escalating tensions in Syria over the last three months, this year seems particularly troublesome.

Regardless if there is a false flag, a false flag hoax, or a straight-up terrorist attack, there very may wall be nothing of the sort, but, if there is some sort of “event”, the question is, can the markets withstand such an event?

For the sake of mankind and of the good people who wish the evil, and often times satanic, globalists, didn’t have dominion over the world, let’s hope we don’t have to find out if the markets can handle an event or not.

Stack accordingly…

– 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.

Paul’s free book Gold & Silver 2.0: Tales from the Crypto can be found in the usual places like Amazon, Apple iBooks & Google Play, or online at PaulEberhart.com. Paul’s Twitter is @Paul_Eberhart.

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