• 15 hours Saudis Eye Billions As Stocks Get Emerging Market Boost
  • 18 hours Airbnb In Acquisition Mode Ahead Of IPO
  • 21 hours Gold Hangs At $1,300 Ahead Of Fed Meeting
  • 23 hours Champagne Sales Slow As European Economic Worries Grow Louder
  • 2 days Putin Signs “Digital Iron Curtain” Into Law
  • 2 days Russian Metals Magnate Sues U.S. Over Sanctions
  • 2 days Tesla Looks To Jump Into Indian Market
  • 2 days Global Banks Lay Groundwork To Re-Inflate Asset Prices
  • 3 days Homeowners Experiment With Risky New Investment Trend
  • 3 days U.S. Tech Stocks Look Increasingly Vulnerable
  • 3 days De Beers To Expand World’s Most Profitable Diamond Mine
  • 3 days Ford CEO Gets Raise After Massive Layoff Round
  • 4 days Germany’s Flirtation With Recession Could Cripple The Global Economy
  • 4 days Where To Look As Gold Miners Inch Higher
  • 5 days Google Faces Billions In Fines From European Regulators
  • 5 days The Energy Industry Has A Millennial Problem
  • 6 days Russian Banks Scramble For Sanction Loopholes
  • 6 days Gold ETFs Take A Hit After Four-Month Run
  • 7 days European Union Takes Aim At Ten New Tax Havens
  • 7 days Goldman Defends Trillion-Dollar Corporate Buyback Spree
Lending: The Good, Bad, And Ugly

Lending: The Good, Bad, And Ugly

Aristotle said, “The most hated…

The Chatroom Cartel Running Global Bond Markets

The Chatroom Cartel Running Global Bond Markets

Eight major banks have been…

readtheticker

readtheticker

readtheticker

We are financial market enthusiasts using methods expressed by the Gann, Hurst and Wyckoff with a few of our own proprietary tools. Readtheticker.com provides online…

Contact Author

  1. Home
  2. Markets
  3. Other

SP500 Kitchin Cycle Says Trouble Brewing

About to be flattened

Since March 2009 the SP500 is up 250%, so another 10% gain is just chump change, and chasing it may be a step too far!

The Kitchin cycle (purple loops) suggests trouble can be expected between May 2017 and June 2018, readtheticker.com suggests a minimum 20% correction is a sure thing during the next 18 months with the TRUMP'ster around. Why chase a 10% gain now? Best waiting for the expected market correction before increasing your exposure to real market risk. Makes sense no!

NOTE: The price chart below with our RTTHurstDPO indicator shows price is conforming to the 900 bar Kitchin cycle.

S&P500 Daily Chart with Kitchin Cycles

Ok maybe you don't get cycles or other chart reading tools, and you need a fundamental reason for such a market correction. Easy, how about rising inflation on the USA $66T of debt. A 1% inflation increase is $660BN loss in purchasing power. Higher interest rates normally follow higher inflation. The US inflation chart below is the chart to watch, nothing else matters. The FED will finally have its inflation problem.


Source: tradingeconomics.com

Investing Quote...

"The market is like a slowly revolving wheel: Whether the wheel will continue to revolve in the same direction, stand still or reverse depends upon the forces which come in contact with it hub and tread." ~ Richard D Wyckoff

"Because of the extreme challenge, one must commit full attention to it." Market speculation is "no different than trying to be a successful doctor or lawyer ... you simply must devote yourself full-time to the study of your craft." ~ Bernard Baruch

"Investing should be more like watching paint dry or watching grass grow. If you want excitement, take $800 and go to Las Vegas." ~ Nobel Laureate for Economics Paul Samuelson

"Markets are constantly in a state of uncertainty and flux and money is made by discounting the obvious and betting on the unexpected." ~ George Soros

"The minute you get away from the fundamentals - whether it’s proper technique, work ethic, or mental preparation - the bottom can fall out of your game." ~ Basketball Legend Michael Jordan.

 

Back to homepage

Leave a comment

Leave a comment