Regarding the charting aspect, this presents a straightforward short setup that offers an excellent risk/reward ratio.
However, from an economic standpoint, there are several factors to consider.
1. Headline inflation for food and energy, when measured from the start of the war, which caused substantial price increases, will likely fall YOY.
2. As the economy continues to slow down, there is a real possibility of a recession, not the "Transitory" "FED pivot nonsense" that "Experts" have been discussing for over two years.
3. Until now, the private sector has managed to maintain its revenue and profits reasonably well, given the circumstances.
Going forward, this will become increasingly challenging as we have already reached maximum employment with weak wage growth.
Therefore, the critical question becomes: how quickly will bond yields or EPS decline relative to each other? The answer points to what Stocks and Cryptos will do.
However, from an economic standpoint, there are several factors to consider.
1. Headline inflation for food and energy, when measured from the start of the war, which caused substantial price increases, will likely fall YOY.
2. As the economy continues to slow down, there is a real possibility of a recession, not the "Transitory" "FED pivot nonsense" that "Experts" have been discussing for over two years.
3. Until now, the private sector has managed to maintain its revenue and profits reasonably well, given the circumstances.
Going forward, this will become increasingly challenging as we have already reached maximum employment with weak wage growth.
Therefore, the critical question becomes: how quickly will bond yields or EPS decline relative to each other? The answer points to what Stocks and Cryptos will do.
Real Macro Economic Investing
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