The great stock crash of 2014, one that will rival 1929 has now started, but most people don’t know it yet, because they have been sufficiently lulled to sleep by the uptrending market. The New York Stock Exchange is poised for a terrific reversal, the bull market rally is totally fake, fueled by record margin debt, now at an all time high, far higher than 2007, 2000, or 1929.
Once the market upward momentum wanes, as it must at some point, even a small decline will violate the upward trend lines, which will trigger preset sell orders. Here is the Wilshire 5000 index, showing the market working its way toward a violation of the uptrend line (as of the close of 25 Sep 2014):
Once the market penetrates the bottom up line, the sell off will be massive, margin debt will be called, assets will be sold to cover, other markets (like silver) will also decline as positions are undone to raise cash for those margin calls (when the broker calls the investor and demands more money). This relationship between margin debt and overpriced market is clearly shown in this chart:
The Fed and investor psychology drives this phenomenon, the Fed buys bonds and lowers interest rates, providing easy money at extremely low interest rates, so low as to be close to zero, banks and others borrow this “free” money and buy stocks. This is what happened with the post 2007-9 crash bailout, the stock market benefited and nothing was changed, perhaps things are worse. This bull market is total bull, it is being driven by cheap money made available as the United States goes under.
So what this means this crash could be bigger than the 1987 crash, the market is at higher levels, the margin debt is near the all time highs. Thus once the slide starts it can accelerate and the bull market will reverse course like a sparrow flying into a hurricane.
So it’s ‘look out below’ at this point, we are already in an economic depression, welfare recipients in America now exceed 100,000,000. What can you say but “Thank you Mr. Jew, for screwing us royal”. Jews have turned the engine of American production into a inflationary casino welfare-warfare state.
Who’s to blame for this mess? Jews, always blame the Jews. Just like 1929, this time around the Jews are the same suspects because they control Wall Street and the Federal Reserve and it is their intention to subjugate America and strip the American industrial republic of all her value. This they did and we haven’t had the big crash and depression – yet. But it is here and it is now, the big deflationary crash.
What this means is the US Dollar will be relatively strong for awhile as cash is king in the crash phase, the dollar has been in a long term decline since the Fed was created, now the dollar will be up as debt is reduced. Every other asset like real estate, silver, gold, stocks, bonds (except AAA) will go down and the dollar will be king for a short while. What you should know that the promise of a stabilized market by the Fed is like all other Jew claims, an illusion.