Must read:
http://armstrongeconomics.com/2014/12/04/the-euro-crisis-to-spread-to-a-world-crisis/The Greek financial crisis began precisely to the day on our model for the start of the Sovereign Debt Crisis. That was truly amazing since we protected that ideal date in 1985.
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I was blamed for starting the takeover boom in the 1980s that they made the movie Wall Street about. I transformed debt into a performing asset. You could borrow in a depreciating currency reducing your cost making 40%. It drove people crazy for those outside looking in could not understand what I was doing.
Conversely, Southern Europe in joining the Euro experienced exactly the opposite result. As the Euro rose in value, their national debts appreciated in REAL COST TERMS. The Euro rose from 82 cents in 2000 to $1.60 in 2008. Historically, whatever national debts that preexisted nearly doubled in real terms. This was extremely DEFLATIONARY. There was no possible way the Eurozone could survive under these conditions.
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The Troika (EU, ECB, IMF) are incapable of even comprehending the magnitude of what has taken place. There seems to be little hope of dealing with the Euro Crisis because of the serious flaws in its design. As we head into 2015, [thus] there appears to be little hope against a rising dollar. This will be deflationary in the USA also raising the net real value of the dollar debts to everyone who have issued dollar debt in countless currencies to save interest. [Thus] The contagion will spread next year and we will see the turn down after 2015.75 will be far more confusing to these people who lack any comprehension of currency and the world economy.
And when did the Euro turn down recently?
You ignore Armstrong's model at your peril.
I should keep an eye out for the possibility that Europe could bounce until 2014.675. I need to search for facts that can tell me how long this bounce is likely to last. I don't want to be too early again, as I was on China last July 2012.
As I've been expecting, looks like we will get that a deadcat bounce in capital fleeing Europe and developing markets into the USA, which may put a temporarily top on the USA equities. Safe haven bond yields in Europe are increasing (exodus from safe havens) and US Treasury yields are declining (from recent dramatic rise) which is a combination of capital coming out of USA equities taking a breather, capital coming out of safe haven European bonds, and lower PPI placing doubt on Fed's Sept. taper.
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Remember on Exter's Inverted Pyramid, that US federal reserve notes are at the bottom just above gold. Patience goldbugs, patience...
Armstrong is not a prophet. He is a scientist who created a model based on back testing all data since Mesopotamia and
forward testing astoundingly precise correct predictions of the model since the 1980s. You really better click that link and review the facts on his models performance record. I dont understand why any scientist would assert Armstrong is not applying the scientific method. The computer discovered the cyclical pattern from the historical data, not some numerology invented on a whim.
The image you displayed above is for the
global turn from a
Private to Public wave...