Best of the Week
Most Popular
1. TESLA! Cathy Wood ARK Funds Bubble BURSTS! - 12th May 21
2.Stock Market Entering Early Summer Correction Trend Forecast - 10th May 21
3.GOLD GDX, HUI Stocks - Will Paradise Turn into a Dystopia? - 11th May 21
4.Crypto Bubble Bursts! Nicehash Suspends Coinbase Withdrawals, Bitcoin, Ethereum Bear Market Begins - 16th May 21
5.Crypto Bubble BURSTS! BTC, ETH, XRP CRASH! NiceHash Seizes Funds on Account Halting ALL Withdrawals! - 19th May 21
6.Cathy Wood Ark Invest Funds Bubble BURSTS! ARKK, ARKG, Tesla Entering Severe Bear Market - 13th May 21
7.Stock Market - Should You Be In Cash Right Now? - 17th May 21
8.Gold to Benefit from Mounting US Debt Pile - 14th May 21
9.Coronavius Covid-19 in Italy in August 2019! - 13th May 21
10.How to Invest in HIGH RISK Tech Stocks for 2021 and Beyond - Part 2 of 2 - 18th May 21
Last 7 days
Investing in the Tulip Crypto Mania 2021 - 19th Jun 21
Here’s Why Historic US Housing Market Boom Can Continue - 19th Jun 21
Cryptos: What the "Bizarre" World of Non-Fungible Tokens May Be Signaling - 19th Jun 21
Hyperinflationary Expectations: Reflections on Cryptocurrency and the Markets - 19th Jun 21
Gold Prices Investors beat Central Banks and Jewelry, as having the most Impact - 18th Jun 21
Has the Dust Settled After Fed Day? Not Just Yet - 18th Jun 21
Gold Asks: Will the Economic Boom Continue? - 18th Jun 21
STABLE COINS PONZI Crypto SCAM WARNING! Iron Titan CRASH to ZERO! Exit USDT While You Can! - 18th Jun 21
FOMC Surprise Takeaways - 18th Jun 21
Youtube Upload Stuck at 0% QUICK FIXES Solutions Tutorial - 18th Jun 21
AI Stock Buying Levels, Ratings, Valuations Video - 18th Jun 21
AI Stock Buying Levels, Ratings, Valuations and Trend Analysis into Market Correction - 17th Jun 21
Stocks, Gold, Silver Markets Inflation Tipping Point - 17th Jun 21
Letting Yourself Relax with Activities That You Might Not Have Considered - 17th Jun 21
RAMPANT MONEY PRINTING INFLATION BIG PICTURE! - 16th Jun 21
The Federal Reserve and Inflation - 16th Jun 21
Inflation Soars 5%! Will Gold Skyrocket? - 16th Jun 21
Stock Market Sentiment Speaks: Inflation Is For Fools - 16th Jun 21
Four News Events That Could Drive Gold Bullion Demand - 16th Jun 21
5 ways that crypto is changing the face of online casinos - 16th Jun 21
Transitory Inflation Debate - 15th Jun 21
USDX: The Cleanest Shirt Among the Dirty Laundry - 15th Jun 21
Inflation and Stock Market SPX Record Highs. PPI, FOMC Meeting in Focus - 15th Jun 21
Stock Market SPX 4310 Right Around the Corner! - 15th Jun 21
AI Stocks Strength vs Weakness - Why Selling Google or Facebook is a Big Mistake! - 14th Jun 21
The Bitcoin Crime Wave Hits - 14th Jun 21
Gold Time for Consolidation and Lower Volatility - 14th Jun 21
More Banks & Investors Are NOT Believing Fed Propaganda - 14th Jun 21
Market Inflation Bets – Squaring or Not - 14th Jun 21
Is Gold Really an Inflation Hedge? - 14th Jun 21
The FED Holds the Market. How Long Will It Last? - 14th Jun 21
Coinbase vs Binance for Bitcoin, Ethereum Crypto Trading & Investing During Bear Market 2021 - 11th Jun 21
Gold Price $4000 – Insurance, A Hedge, An Investment - 11th Jun 21
What Drives Gold Prices? (Don't Say "the Fed!") - 11th Jun 21
Why You Need to Buy and Hold Gold Now - 11th Jun 21
Big Pharma Is Back! Biotech Skyrockets On Biogen’s New Alzheimer Drug Approval - 11th Jun 21
Top 5 AI Tech Stocks Trend Analysis, Buying Levels, Ratings and Valuations - 10th Jun 21
Gold’s Inflation Utility - 10th Jun 21
The Fuel Of The Future That’s 9 Times More Efficient Than Lithium - 10th Jun 21
Challenges facing the law industry in 2021 - 10th Jun 21
SELL USDT Tether Before Ponzi Scheme Implodes Triggering 90% Bitcoin CRASH in Cryptos Lehman Bros - 9th Jun 21
Stock Market Sentiment Speaks: Prepare For Volatility - 9th Jun 21
Gold Mining Stocks: Which Door Will Investors Choose? - 9th Jun 21
Fed ‘Taper’ Talk Is Back: Will a Tantrum Follow? - 9th Jun 21
Scientists Discover New Renewable Fuel 3 Times More Powerful Than Gasoline - 9th Jun 21
How do I Choose an Online Trading Broker? - 9th Jun 21
Fed’s Tools are Broken - 8th Jun 21
Stock Market Approaching an Intermediate peak! - 8th Jun 21
Could This Household Chemical Become The Superfuel Of The Future? - 8th Jun 21
The Return of Inflation. Can Gold Withstand the Dark Side? - 7th Jun 21
Why "Trouble is Brewing" for the U.S. Housing Market - 7th Jun 21
Stock Market Volatility Crash Course (VIX vs VVIX) – Learn How to Profit From Volatility - 7th Jun 21
Computer Vision Is Like Investing in the Internet in the ‘90s - 7th Jun 21
MAPLINS - Sheffield Down Memory Lane, Before the Shop Closed its Doors for the Last Time - 7th Jun 21
Wire Brush vs Block Paving Driveway Weeds - How Much Work, Nest Way to Kill Weeds? - 7th Jun 21
When Markets Get Scared and Reverse - 7th Jun 21
Is A New Superfuel About To Take Over Energy Markets? - 7th Jun 21

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

Epic Paradigm Shift Looms Against the Acceptance of Fiat Money

Stock-Markets / Global Financial System Mar 03, 2008 - 10:01 AM GMT

By: Joseph_Russo

Stock-Markets Best Financial Markets Analysis ArticleAdaptive Trading and Investment Perspectives Since we first began offering our market forecasting and analysis services to the public some two years ago, Elliott Wave Technology has been strident in directing our clients focus and attention to the negative wealth effects that eroding fiat-currency's impose - along with the plausibility of epic consequence, if and when an inevitable paradigm shift against the acceptance of fiat-money were to ever reach critical mass. No matter where we are in a given investment cycle, we must first recognize the inherent nature of that environment, and then adapt our various investment postures with fitting perspective.


Say, you wanna revolution – well, ya know

In our view, as a result of their near-100-year monopoly, and flawed mandate to create public perception of never-ending (un)sustainable growth with price (in)stability, monetary authorities find themselves compelled in administering to an additional and rather absurd mandate - one which must avert an otherwise inevitable and catastrophic credit-deflation of their own making – and they must do so, at any and all cost. Our highly esteemed monetary authorities, boxed in a systemic paradox of their own design, appear to have no choice but to take their alchemy up a notch, and begin to fertilize seeds of hyperinflation in order to save face, and assure that their obligatory mandate will be fulfilled as agreed.

To their credit or shame - depending on one's perspective, they have successfully staved off this permanently imminent and exponentially growing deflation for more than 30-years running. The monster in which they've been so accustomed to taming – has apparently taken on such gargantuan proportion that it is now becoming acutely unmanageable. The seeds of hyperinflation are slowly taking root, and may soon begin to expose themselves to the populace, and spread unabated. Unless our monetary and political stewards begin taking immediate steps toward fostering the adoption of a sustainable, pro-active, fiscally sound and transparent set of practical transitional protocols to construct a NEW sustainable system of money and credit – the current generation will no doubt, be bearing witness in their lifetimes, to an epic paradigm shift reaching critical mass – resulting in a 21 st Century revolution to abolish and supplant the present fiat-currency system of money and credit.

Good, but not good enough

Although a new incoming administration with fresh momentum for promised-change may be considered a very good start, such positive intentions alone - unless radical and swiftly acted upon - will not be enough to get the job done in time. It also may be such that there is simply no practical timely solution other than making the necessary preparations to maintain civil order, the rule of law, and containing the masses as crisis after crises pounds the nation toward eventual revolt.

Ain't no stoppin'us now – we're on the move

It is our further opinion that this flawed system of fiat-money and credit-creation has long outlived its practical utility, and stands out quite clearly as the NUMBER ONE - singular systemic cause of all systems deemed to be broken, dysfunctional, grid-locked, intractable, or in some stage of pending breakdown or looming collapse. If left inadequately addressed, or simply left to 20 th century business-as-usual inflationary tactics - such denials, misguided actions, and lack of visionary leadership will ultimately threaten to impose an acute and prolonged disruption to the well-being of civilizations across the globe for decades to come.

Dual Voice / Singular Focus

Before we continue, we wish to point out that we communicate with two distinct voices on occasion. Our public voice, exemplified by expression of opinion and philosophical query, is often limited to articles such as this one. In stark contrast, our second voice is purely analytical, and all-business. Market based communications within our publications are strictly limited to adherence, and utmost respect for impartial technical assessments as to the state and progress of a wide array of broad market indices. We consider this to be our more disciplined, essential, and relevantly applicable voice. A voice that is steadfast, prepared, anticipatory, on-the-money, and always on-guard.

Takin' what they're givin' cause we're workin' for a livin'

Despite its current state of pending jeopardy, and though flawed as it may be, each of us by default - must participate and adapt to the current financial systems construct, limitations, and constraints. It is all that we have to work with. One of the cornerstones to our long-term investment guidance has emphasized the general rule of thumb in guiding each of our clients to take steps to assure that their accumulated wealth is protected against the ravages of inflation by means of acquiring a constant and adequate percentage of their total net worth in physical Gold and Silver bullion – under any all market conditions. The bulk of such acquisitions were made when gold was at or below $400 – it now appears destined to strike $1000 and beyond. Such guidance from two-years ago was definitely worth its Gold-weight, and most certainly worth the price of admission!

Pro-active long-term checks and balances

In framing our long-term market analysis, we have adopted a series of mechanically based checks and balances from which to monitor adequate levels of long or short side exposure to broad based financial indices. Our patience and discipline in observing these trigger-points has paid off handsomely per our recent bout of high-level profit taking - whereby we lifted 2/3rds of long side exposure to general equities just prior to the October top. Similar mechanics shall alert us as to when and if to take full cover, and when and if it may be prudent to begin re-introducing exposure back to the long side of equities. Naturally, more aggressive clients may use such barometers to build short positions in various indices.

Global Investors must Align Perception and Reality separately

The three charts above provide a small, relatively short-term glimpse into the early rumblings of a rather subtle paradigm-shift quietly building mass. The comparative studies illustrate the “official” and perceived levels of dollar denominated performance and value metrics. Below is a longer-term data series of the three titans. In the chart below, we have provided self-explanatory annotations as to our long-term forecast for the US dollar.

Aligning Short-Term Trading Expectations in Proper Context

Those committing themselves to short-term speculation should only do so only if they possess adequate amounts of discretionary trading capital, patience, tenacity, discipline, and resolve to succeed. Those seeking constant spoon-feedings of “tell-me-what-to-do-next” guidance - neither willing nor desirous to work for themselves, will generally end-up failing.

All too often, traders prematurely jump to and from the latest system or guru with the hottest advertised hand. Such folly equates to selecting a mutual fund or stock for long-term investment on the basis that it was last year's best performer.

Over time, and likely after parting with a good portion of their trading stake, participants eventually learn that one way or another; proper endeavor into the art of speculation is predicated on hard work-ethics, acceptable levels of routine losses, and discretionary adherence to adaptive-dynamic trading principles that have proven themselves both reliable and profitable over acceptable periods of time.

Strident Short-Term NTO Traders Resume capturing BIG PROFITS

The ongoing hi-jinks, mayhem, and housecleaning operations continue to rid the market of its most fearful traders. Though many may have cut & run scared - jumping ship at the first sign of rough waters, our swift response in quickly adapting proprietary short-term methodology to the current market environment has paid off smartly for NTO traders. Our adaptive-dynamic analysis provides short-term NTO traders with the audacity, resolve, discipline, and confidence - to stick it out, and come out on top when the going gets tough.

Short-Term Trading Environment: Week ending 29-Feb.

In a word … MANIC

Below is a graphic summary of recent short-term trade-triggers identified via Elliott Wave Technology's Near Term Outlook . Note how our trade performance has quickly rebounded after enduring a bout of sudden losses in weeks prior. In fact, the lion's share of February has been fraught with similar challenge. Such adversity along with the resumption of handsome profits is further illustrated by February's closing profits relative to last week's sizable $8,000 bounty.

Elliott Wave Technology's short-term market analysis provides an adaptive roadmap to the dynamic price action landscape five days per week. The Near Term Outlook provides an excellent platform from which speculative short-term traders may better execute their strategies, mitigate risk, and maximize profits.

The Broad Market Update

We are going to begin this broad market outlook with a long-run value perspective of Japanese equities. The chart below has been extracted from Elliott Wave Technology's Millennium Wave Quarterly archives. Our chart of the Nikkei is well annotated, self explanatory, and contains a shaded backdrop of the YEN vs. GOLD behind the nominal price series. 

Should one have interest in acquiring access to our long-term technical analysis and/or utilizing our proprietary short-term market landscapes, we invite you to visit our web-site for more information.

For immediate access to our broad market coverage in all time-horizons, one may subscribe directly to the Near Term Outlook which includes our Global Millennium Wave Quarterly reports, Interim Monthly Forecasts, and ongoing coverage of the short-term Dow, S&P, and NDX five-days-per-week, while issuing near-term updates for the US Dollar, Gold, Crude Oil, and the HUI two times per week.

Trade Better / Invest Smarter...

By Joseph Russo
Chief Editor and Technical Analyst
Elliott Wave Technology

Copyright © 2008 Elliott Wave Technology. All Rights Reserved.
Joseph Russo, presently the Publisher and Chief Market analyst for Elliott Wave Technology, has been studying Elliott Wave Theory, and the Technical Analysis of Financial Markets since 1991 and currently maintains active member status in the "Market Technicians Association." Joe continues to expand his body of knowledge through the MTA's accredited CMT program.

Joseph Russo Archive

© 2005-2019 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in