Submitted by watifurdadpulledout t3_yhvyzj in wallstreetbets

Despite a buy signal from technicals or a coming rally from divided Government coming up in a couple weeks the last thing I believe is that we have hit the bottom. There is much lower to go. The 3/10 Yield curve flashed earlier this week. Which guarantees much more fucking that is ahead for us. I believe this is coming up next.

  1. A widening in the 3/10 yield - Yields going over 5% over the next couple of months.
  2. Oil Prices to spike as soon as we finish this election and the strategic petroleum Reserves stops getting used. - Get ready for a cold and expensive winter.
  3. Another spike in this inflation game - well over 10-12%. This forces the fed's hand on holding the rates higher for longer.
  4. A lot of bullshit companies filing for Chapter 11 because of the new rates and the Unemployment to tick up over 4%
  5. Fed to start talking even louder but not be able to raise rates Fed Funds Rate more than 1-2% higher than current levels b/c of the 31$ Trillion national Debt.
  6. A real bottom is when no one is talking about the stock market. Bullshit companies and tokens are near 0 and all the craze of the market has been completely fucked out of the system - Which I have yet to see.
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Comments

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thereallizardlord t1_iug0ocm wrote

I think you're right, and it could definitely go down. Or up. Or maybe sideways.

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Shakedaddy4x t1_iugmux7 wrote

Don't fight the Fed. Short every rally. It's as simple as that but still so many bulls furiously masturbating over the glimmer of Fed pause or pivot any day now

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Three_Tons t1_iuhh97r wrote

Any day now you will be sorry and the fed will pivot

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yachtahead t1_iug3t1s wrote

I would agree, this bounce seems contrived. Fed signals of 'easing' are not the same as brrrrrrrr.

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VisualMod t1_iufy217 wrote

>I agree with you that there is much lower to go. The 3/10 yield curve is a clear sign of this. Oil prices will spike as soon as the election is over and the strategic petroleum reserves are depleted. This will lead to higher inflation, which will force the Fed to raise rates more than 1-2%. A real bottom is when no one is talking about the stock market and all the craze has been completely fucked out of the system.

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v10climbz t1_iug85m9 wrote

I wanna say that you’re right but there’s still so much liquidity in the system influencing price action in stocks. Unemployment is fairly low and yes P/E ratios are getting a little crazy but how much longer the market is gonna stay in a disillusioned fever is anyone’s guess. Honestly it could be years unfortunately. For some reason everyone is bracing for a recession but wall street keeps posting gains. Sometimes when everyone is expecting something you should look into the opposite less popular view. Maybe the bull run will continue? Not so much for the real economy, but at least on the street.

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McGrupp1979 t1_iugzymn wrote

I suppose anything is always possible. . . Or maybe we go into the dreaded stagflation, inflation cannot be contained because of the supply chain and commodity shortfalls, while certain segments of the economy don’t completely crash, yet don’t grow any significant amount either. Could the global economy experience something like Japan’s lost decade?

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SailsAndStocks t1_iugdc16 wrote

Just do the opposite of what CokeRat cramer says. Problems solved!

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tabspdx t1_iugcowd wrote

RemindMe! 1 year

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Vegan_Honk t1_iugm0ar wrote

Black swan events people have been saying. What about a black hole crunch? Everything falls at the same time, implodes. Then bursts out.

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send_nudes_pleeeease t1_iug0p3i wrote

Should i stop bagholding and cut some of my positions in half? If i never started investing i would own twice as many dirtbikes...

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Cultist6661 t1_iug1ggd wrote

Depends which bag your holding. If it’s a bunch of oily energy producing bags, yes hold for a bit. If it’s a bunch of MetaTesla, I-Somethjngs than if u sell u can probably make more short term money elsewhere.

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MasterJeebus t1_iugec14 wrote

I think its gonna dip after elections.

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Cho-Rho t1_iuhj5u9 wrote

It's got more to bleed.

No bottom till the Fed's done with their 'work'

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qwerlancer t1_iuhkn69 wrote

Hyperinflation. Rich will get richer. Poors will be fucked.

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infamouscrypto8 t1_iuhu0ls wrote

No. 6 is a myth. It didn’t happen in 1987 or 2008.

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Skrtpa123 t1_iuh23z4 wrote

Stfu just buy gme tards

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HesitantInvestor0 t1_iujw0e2 wrote

You're probably a bit too pessimistic here. Chances are things never get quite that bad.

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ReplacementHot2808 t1_iugehvi wrote

Why does the market need to go “way lower?” Honestly why?

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Believeland-OH t1_iugo4nm wrote

Some Redditors have puts. The lower the market the more for money for them and that’s all it is.

Same reason a user will say GME is about to moon, they have shares. Always important to know nearly every post on WSB about movement is because the poster has a vested interest.

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ASMR_NAKED_COWBOY t1_iuhjkkf wrote

The return on stocks needs to be significantly higher than on bonds to be worth buying/holding stocks, because stocks are more risky. Every time rates go up, bonds go up, and stocks become less attractive to hold. A stock with a P/E of 20 isn't worth it. A few more rate hikes and a stock with a P/E of 15 won't be worth it, you will be better off holding bonds. Stocks will get sold to buy bonds and get the same return but safer.

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