Robert Prechter: "The Current Market Trend Is Exhausted"

What is the real problem with today's market? Watch this excerpt from Robert Prechter's special, video issue of the August Elliott Wave Theorist (online now, 54 mins). Prechter shows you how the buildup of dollar-denominated debt has brought us to what he calls a critical market juncture. Learn more at http://www.elliottwave.com/wave/yt110914.

Category:

News & Politics

Tags:

• robert
• prechter;
• debt
• crisis;
• elliott
• wave;
• theorist;
• deflation;
• us
• stock
• market

[starcorpvncj]

I agree with the deflation arguement. The rallies and inflation ofof 2010/10 were only a reaction to artifical stimulus that has now run its course. You cannot borrow yourself out of debt except in a time of great demand, and there is no global demand now because everyone is flat broke. For another analysis see the YouTube site: 'Global Financial Crisis 2012: Causes and Effects by Zip Zagon'. The debt heightened levy banks of the River of Economic Catastrophe are about to burst.

[TheDBALLYN]

Prechter is an idiot and if you have invested according to his forecasts, you have lost a ton of money. His two newsletters have been calling for Dow @ 400 for the past several years.

[DoNotCiv]

Couldn't agree more.

[waldentree]

@orangedac  yes

[CitizenNumber]

LOL! Funny video. Let me put it to you this way. 1 trillion dollars of debt at 10% = 100 billion. 10 trillion of debt at 1.7% = 170 billion. 10 times more money for only 70 billion more. nuff said.

Doom and Gloam people don't understand economics! But pretend they do. I guess thats why they are not FED Chairmen.

[FreeRE1]

An interesting point is that even Gold/Silver Ultra-Bull Mike Maloney agrees with Prechter's Analysis up to the point of Deflation. Maloney just believes the deflation will be ginormous but short-lived and immediately followed by hyperinflation. Prechter, Mish, and to an under-exaggerated extent, Gary Shilling (i.e., in his Book called housing to decline 25% nationally -- we're well beyond that) believe there will be no hyper-inflation, just prolonged deflation.

[orangedac]

@USBankruptcy

according to prechter, gold & silver will go down just like equities in a crash.

he recommends cash only - specifically US dollars and US Treasuries

he says once the crash occurs, it will be a buying opportunity but only for people with cash. 

he even recommends taking your money out of the bank because banks will implode and FDIC won't have the money to pay you.

[mistapikkles]

@USBankruptcy I did not say I follow him I said I agree with him on this... Well to a point.. Zero on junk bonds probably a bit over the top..

I do my own DD

[USBankruptcy]

@orangedac I buy physical Gold & Silver.

[orangedac]

so what should we do?

stay in cash... ?