posted on Oct, 6 2010 @ 01:04 PM
The one prediction I find interesting is the Market Crash on October 20th.
We are now steamrolling towards the second market crash, if the same playbook for the economic downswing that was used in 1929 is being used now (and
I strongly believe that it is).
We recently had TWO "Hindenburg Bubbles" on the stock market (if you don't know what that is, look it up, it's an interesting read) and ONE of
these preceeded the crashes in each instance of Sept 2008 AND Oct 1987. We're now in the 30 day period that they talk about in the articles about
this, and Oct 20th would be well within the margin of error.
In 1929, there was actually a false rally for about two years after the main event stock crash, and there was a bigger, mostly ignored, stock crash in
1931, which if they're using the same playbook, we're right in the appropriate time frame for this to happen this month.
Not only are stocks going up right now, leading to the false sense of security, and the US dollar is at historically significant lows, but gold AND
silver are both at all time highs, suggesting that someone is buying large quantities of precious metals, while the rest of the saps buy in to the
market under the false reassurance that everything is now ok.
Even CNN this morning was actually telling people that a "12,000 point market is right around the corner" and that "this is a great time to start
into the market". Who are they trying to kid? Why would I want to buy into stocks when the US dollar is tanking and precious metals are beating new
records every single day? These are both bad signs for a rising market.
By the way, in case anyone asks, I HAVE put my money where my mouth is, and have sold my investments in stocks and put money into SILVER (not gold).
Silver is also at an all time high but I believe has more growth room than gold, even if the market is to collapse.
Not sure about the other predictions. If the war with Iran was to start they would have started this BEFORE Iran fuelled their nuclear reactor, not
The USA doesn't have the clout or the cajones to install trade sanctions against China. They know that the minute they do this, China will simply
recall all loans immediately and the USA would collapse pretty swiftly.
What's of more of a threat to the US economy is if OPEC decides to reevaluate oil sales in EUROS instead of US dollars, and if China, Saudi Arabia,
and the EU all dump their US dollar hard currency piles onto the market at the same time. They are widely suspected of holding about $1 TRILLION in
US currency each. This would definitely heavily devalue the US dollar overnight, making all items inside the USA ridiculously expensive (even
necessities such as food as so much is imported) and the economy would degenerate back to a barter system.
As far as the proxy war with China, again, not likely to happen. Russia is more likely to back the Iranians than the Chinese. War with China will
NOT happen over Iran. War with China is far more likely to happen over North Korea.
The price of gold will NOT affect the US recovery - the value of the US dollar hasn't been linked to the value of gold for decades.