QUESTION: Marty; At the conference you stated that 2016 should be the major turning point in deflation. Do you still see this concluding for the first quarter?
Thanks
HG
ANSWER: The monthly array in the Dow published back in July appears to be working on target. November was the reaction high where the Dow reached 17977.8 intraday. It picked the May high for 2015 correctly and we still have the first quarter as the main target to pay attention. Not much has changed. Socrates warned that we would see a correction if we closed lower at year-end.
We may get that slingshot move where you take out last year’s low and then swing to new highs. The only difference that seems to be shaping up is that instead of a conclusion for 2017, we may be looking at an extension into 2020 when the general public becomes aware of the crisis in government.
We have to pay close attention to the Weekly and Monthly Bearish Reversals. The Monthly Reversal will signal if we are going to get a slingshot and extend this entire mess beyond 2017.
The numbers are the numbers and the arrays are the arrays. My personal opinion does not really matter for it is always the computer that does a far better job than I could do on a personal level.
