• 20 hours Bitcoin Lives Up To Its Safe Haven Status In A Big Way
  • 24 hours 14 Million People Will Lose Unemployment Benefits On December 31st
  • 3 days Why 12 Million American Millionaires Isn’t Good News
  • 4 days Big Oil Is Paying The Price For Investing In Renewables
  • 5 days The Banking Industry’s $35 Billion Gravy Train Could Disappear
  • 6 days Did Amazon Just Democratize Prescription Drugs?
  • 7 days The Private Space Race Just Got Very Real
  • 9 days Short Sellers Are Willing Big In This Turbulent Market
  • 10 days SpaceX Gets Go-Ahead To Send Humans Into Space
  • 11 days Saudi Arabia Lost $27 Billion In Oil Crash
  • 12 days China’s Big Tech Takes A Hit As Regulators Crack Down
  • 13 days Black Friday Could Be Retailers’ Only Hope
  • 14 days Why You Should Not Dump Your Stay At Home Stocks Just Yet
  • 15 days The Real Reason Why Uber And Lyft Stocks Have Soared Nearly 50%
  • 17 days Bitcoin Heads Towards $16,000 And No One’s Cashing In
  • 18 days Elon Musk’s $250 Tesla Tequila Is Already Sold Out
  • 19 days Will The San Francisco Wealth Tax Spark An Exodus Of The Rich?
  • 20 days The Fin-Tech IPO Of The Century Just Got Crushed
  • 21 days UK Bookies Report Largest-Ever Political Bet Ahead Of Election Results
  • 22 days Better Safe Than Sorry: 5 Alternative Investment Plays
What's Behind The Global EV Sales Slowdown?

What's Behind The Global EV Sales Slowdown?

An economic slowdown in many…

How The Ultra-Wealthy Are Using Art To Dodge Taxes

How The Ultra-Wealthy Are Using Art To Dodge Taxes

More freeports open around the…

  1. Home
  2. Markets
  3. Other

It's Starting to Get Ugly Out There

Regular Co-Host: Charles Hugh Smith, Author & Publisher of OfTwoMinds.com

It's Starting to Get Ugly Out There

With Charles Hugh Smith & Gordon T Long
28 Minutes - 21 Slides

Charles Hugh Smith and Gordon T Long discuss the US Equity Market Technicals. They position the technical charts which they go through in the context of the following primary sources of system risk to the markets:

1. Too much debt globally; public and private debt has skyrocketed since 2008.

2. Mal-investment due to perverse incentives: borrow money for stock buybacks rather than invest in new productive capacity, etc.

Global Consumer Confidence

3. Stagnant income/revenues: households, companies and nations cannot support more debt

4. The rise of high-frequency trading (HFT) has increased the odds of flash crashes and instability

5. Rising U.S. dollar has triggered capital flight from emerging markets and China

6. China's economy is grinding to a halt, crushing demand for commodities and commodity-dependent economies

7. Opaque banking: shadow banking in China, dark pools in offshore banking centers, etc. True totals of debt, leverage and quality of collateral are all unknown

8. Deteriorating collateral globally. How many of the 60 million empty "investment" flats in China can be sold for the purchase price? This is just one example of illiquid, impaired assets that are grossly overvalued.

The CY 2015 Revenue Recession


Just 3 Potential Triggers

Gordon T Long takes the lead is laying out three technical market triggers that are currently at play, which he feels will significantly disrupt the markets and heighten volatility:

  1. Have Entered a "Revenue Recession",
  2. Cycle Timing,
  3. Shifting Global Sentiment & Confidence

However, Gordon doesn't see this cyclical bull market to be quite over yet. Though he sees a scare coming in the near term, he feels the central bankers still have three arrows left in their quiver and until they are all fired the markets still have more room to run. He lays this out in his theory of an unfolding final "M" Top.

.. lots of charts here!

 

Back to homepage

Leave a comment

Leave a comment