Wednesday, November 17, 2021

#USStocks Review

US Stocks Review
Those that view the message of the market on a daily basis are likely confused by trading noise. While trading noise contributes to the long-term trends, it does not define them. Human behavior tries to explain trading noise as a meaningful trend. This confuses the majority which, in turn, contributes to their role as bag holders of trend transitions.

The global economy and stocks began behaving strangely in late summer of 2019. Repo rates spiked unexpectedly. Few acknowledged it. Anyone looking for a return to "normal" market by fundamentals will likely be disappointed in the coming years.

Stocks crashed in early 2020. Relative performance within the stock market suggests a reallocation of resources away from old to new economic plays. The old norm of "Made in USA" is not coming back. Manufacturing, design, and information collection will be borderless. Citizens will struggle to maintain their liberties and rights without oversight and intervention under this economic backdrop.

Rising stocks as the global and certain market groups decline is a real possibility that has been discussed for years. The stock market's distortion of reality is being attributed to the Federal Reserve. The Fed, contrary to popular opinion, is not that powerful. It cannot control the world's capital flows. The invisible hand, the true driver of market and trends, is redefining the world as the core economy passes from North American to Asia.

Subscriber Comments

US stocks reviews tend to be read only after the shit hits the fan.  Perhaps this review will reach 25% of readers and subscribers. I am hoping that everyone is or has learned the power of the Matrix, thus, reads every update as fast as they can.

The Timing A Correction/Crash (TAC) Section of the Matrix stands at 40% (Line 135 Trends Tab of Matrix). This places the risk of a correction below normal. Anyone bullish that stops reading is listening to MSM too much.  The invisible hand is always talking. Sometimes it whispers, which means it's difficult to hear when everyone is screaming.  That's what the majority does.

TAC


Trend correlations are beginning to spike (see Trend Correlations). It's expanded from 1 out 4 to 2 out 4. This means risk decoupling behind price is spreading and increasing in intensity. Expansion of trend decoupling is warning that the US stock market rally is getting stretched. While the majority remains and will always be 100% oblivious, it will awaken in a panic when price falls down the elevator shaft. We must be prepared for this outcome by recognizing a growing number of decoupling readings. 4 out 4 is the maximum trend decoupling. This is possible has the end of the year approaches.

Trend Correlations (Decoupling)


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