German Federal Constitutional Judge, Udo di Fabio, says the German federal government is constitutionally obligated to take control of border security when European institutions are impaired. Judge Fabio correctly stated: “The Basic Law does not guarantee the protection of all people worldwide through de facto or legal entry permits.” The constitutional duty of any head […]

QUESTION: Greetings Mr Armstrong and thank you for your excellent blog! I have recently started reading Benoit Mandelbrot’s The Misbehaviour of Markets in which he states that stock prices probably isn’t predictable in any useful sense of the term (p. 6). I recall that you have stated that stock prices can be predicted but not […]

Portugal is starting to bail-in banks. The fascinating aspect that nobody seems to see is that this is a total failure of socialism. The U.S. Federal Reserve was formed in 1913, with the shareholders being the banks, to provide the cash needed to prevent bank failures. To stimulate the economy when the banks could not […]

We did NOT elect  the Weekly Bearish today in the Dow Jones Industrial Japan tried to hold overnight gains but by the time the rest of the Asian markets opened it was too late and the selling pressure just increased with time. Nikkei closed down 94 points (-0.5%) but the futures quote dropped an additional […]

We added some additional modifications to the Trader preview site that will go up this weekend. As mentioned, the Trader preview is a special promotion for 2015 World Economic Conference attendees. We are also planning on providing commentary for each level of time. This is still a work in progress and we are progressing at […]

The key level to watch today is 15940 for the close. This is our Weekly Bearish and if it holds for the closing, then we may see a bounce next week. We have Directional Changes every week now into the week of Feb. 8 and the week thereafter appears to be the main target.

In China, the Shanghai share market broke its major psychological support at 3000. The selling pressure has continued to expand on time here in January as oil also broke its major psychological support at $30. These levels are not really important, technically speaking, but they are more important to fundamentalists. In the case of Shanghai, the […]

There was a time when a 2% price swing used to be something to write about! Asia returned a mixed session with the Nikkei (-2.6%) handing back most of yesterday’s gains. The Shanghai (+2%) recovered late in afternoon trading and finally the HSI (-0.56%) was way off of the opening lows. Early data in Japan […]

They are now playing “Born in the USA” at Trump rallies to distinguish him from Cruz who was born in Canada. The real issue that Cruz will not address head-on is the revelation in the New York Times that Cruz failed to properly disclose large loans he received during his senate campaign. Trump brought up the issue, but in a […]

A real bubble is when you suck in everyone who has no business investing in the stock market. We are nowhere near a bubble, despite the current correction process. There is no risk of an 80-90% decline as was the case following 1929. Many losers obviously didn’t come forward publicly during the Great Depression, but […]