Is The FED To Blame For This Market Sell-Off?

Daily Chart AJanuary 19 InvestWithAlex

1/19/2016 – A mixed day with the Dow Jones up 28 points (+0.18%) and the Nasdaq down 11 points (-0.26%) 

In a sense, absolutely. Here is a fairly good summary of what is going on. This video is definitely worth a few minutes of your time. 

I would have to agree with Peter Schiff here. I have been saying the same thing for over a year now. The FED will be unable to raise interest rates in any meaningful way. A 25 bps raise we have seen so far is laughable. Yet, the 10%+ sell-off it has triggered is not. And while we are likely to get another bump at the next meeting, I am doubtful that they will raise again.

As a result of this FED induced disastrous bubble, we will see a number of important structural themes play out over the next few years as the FED blinks and attempts to flood the market with liquidity again.

  • The stock market will have a sizable sell-off into 2017 bottom. At least according to my mathematical and timing work. Click Here to learn more.
  • Interest rates…-10 Year Note should see a double bottom at around 1.4-1.5% over the next 2 years. 10-Year Note: All Systems Are A Go For A Double Bottom
  • The US Dollar should decline. Don’t forget, commercials have a substantial short position against the dollar.

Now, mind you, all of the above is counter to what most investors today expect or believe. That should not come as a surprise.

This conclusion is further supported by my mathematical and timing work. It clearly shows a severe bear market between 2015-2017. In fact, when it starts it will very quickly retrace most of the gains accrued over the last few years.  If you would be interested in learning when the bear market of 2015-2017 will start (to the day) and its internal composition, please CLICK HERE.

(***Please Note: A bear market might have started already, I am simply not disclosing this information. Due to my obligations to my Subscribers I am unable to provide you with more exact forecasts. In fact, I am being “Wishy Washy” at best with my FREE daily updates here. If you would be interested in exact forecasts, dates, times and precise daily coverage, please Click Here). Daily Stock Market Update.January 19th, 2016  InvestWithAlex.com

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Is The FED To Blame For This Market Sell-Off?  Google