What a month! Because central banks did not drop sugar bombs the Greedometers were able to forecast the SPX reasonably well. Well enough for me to post a 60% gain on the month.
Reminder –we must observe a mini Greedometer 1st baseline point to lock the sequence in, to lock the S&P500 forecast and US economic forecast. As of now, we do not know this week is a 1st baseline point. It probably is. But next week could be the 1st baseline point too. To have low risk trading, we need to observe the 1st baseline point. That won’t happen until next week is on the books.
I have estimated the slope of the mini Greedometer sequence based on previous sequences and the mG13 sequence birth point and 1st topline point values. Based on that, I expect this past week will be the 1st mini Greedometer baseline point seen in nearly 5 years. We’ve been very close several times –only to have someone blink and drop a sugar bomb.
If next week is the 1st baseline point I’d expect a slightly steeper baseline than what’s been shown and the SPX to close slightly lower -say 2700. Still a big IF.
From the 1st baseline point I expect the SPX to take 3-5 weeks to climb to a 2nd topline point with the SPX near 2900. Then on with the show.
However –>per the video I expect these things to happen this year –>> warping the sequence flatter several times –as we saw with previous sequences:
- a China-US trade deal
- Fed announcing it will begin cutting rates
- Fed announces an early end to QT
- ECB announces something new, big, yummy
In the end, I expect central banks to run out of ammo, threaten, then deliver several $T in helicopter drops. Print money and deposit it into citizen accounts directly. That’s how awful and desperate the global economy is.
My goal is to post 30-40% over the next 3-5 weeks as the we head back towards the mini Greedometer topline. see video.
NOTE 1: DO NOT make large trading bets based solely on these blog posts. You should have access to other tools with a finer granularity. Also watch out for Trump Tweets of impending marvelousness and central bank sugar bombs if you’re long risk.
Note 2: I will stop making blog posts with the Greedometers and SPX in the next 1-2 weeks. You’ll have the opportunity to create a free access account to view Greedometer newsletters.
Tell your friends!