Economics & Investing For Preppers

12 Comments

1. How Low Could The SPX500 Index Go?

   These guys have been reading my notes. I’m joking of course, nobody cares what I think but I agree 100 percent with the target and support levels of the ’16 top/’15 low range and that pesky 01/08 double top in the SPY which are based, in part, on human behavior and naturally occurring patterns in nature (and therefor markets), such as Fibonacci and Elliot. This is a good note because some factors were used that I’m less familiar with. I will completely agree that the yearly RSI (Relative Strength Indicator) is ridiculous. Markets go down a lot faster than up but the yearly RSI has a very long way to come back down before a long term buy signal would be in the making.

   1. While I certainly appreciate self-aggrandizing and self-deprecating statements in the same thought, rest assured they’re not reading your notes. Charts, theories, and other forms of technical analysis steeped in jargon-heavy mumbo jumbo can be found on a thousand different websites or blogs and they are all equally meaningless.
      For them to have any relevancy would mean we are dealing with actual markets. We are not. This is an algo-driven casino and trying to predict future outcomes based on past events is pure folly at best. If you are relying on technical analysis to determine trades, the only sure thing is that you are forever behind the curve with zero chance of making any meaningful profits.

      1. Well, the article did hit me squarely in the confirmation bias. Grandma wasn’t humming and canning fruits while she’d look over at you and smile because she was loopy, depressions cause a lack of things to buy not a lack of money. And when the next very real depression comes, and it will, you won’t be calling the markets fake then, nobody will. It’s easy to be a modern skeptic but like Plato, a cynic merely makes critical observations which is much more fun. I agree, never try to time a market for a trade. It’s the fastest way to lose your shorts. I wasn’t talking about trading, I specifically mentioned a “long term buy signal.”

2. “Corporate share buybacks will slow to a trickle” ~ From ~The Three Things That Will Happen~ article.

   Many of the ‘Finance related articles’ are written as though the Executives in charge are concerned about the Shareholders, the Company, the Economy, and even America. … Too often, the Executives in charge of the big corporations set things up, so they can ‘parachute’ out of a business, with an enormous amount of money.

   Many of the Corporation Executives and Wall Street Traders seem to be modern D.B. Cooper characters. They will run a business to engage in legalized looting.

   1. GGHD, you nailed it.

      Carry on

      1. Once a Marine ~always a Marine, Thank you.

3. Regarding gleaning.

   When I lived in Southern Idaho in the late 70s, gleaning was allowed in the harvested potato fields. I would go out and pick up a years supply of potatoes in an afternoon. Had a rudimentary root cellar dug into a small rise that I would store them in. Worked on a dairy farm and had access to a small disk and rototiller and all the fertilizer you would ever need. With that we grew about all the other vegetables you would ever need. Excellent yields. Good memories of that.

   I will say that even in the 70s and it being pretty well known that you could just go get free potatoes, I did not see very many people in the fields. I seem to remember talking to one or two people who availed themselves of the opportunity but as a whole not many thought it worth their while. A shame I think.

4. Gleaning is done in my community by organizations that, as the article stated, give the food to people in need. Indeed, they recruit those people who are “food insecure” to join in the harvest. Perhaps, they have read the passage in Matthew regarding “whatever you do unto the least of my children, you do unto me”. As the article states, gleaning is an organized activity in service to those who are struggling. If I remember well, Sarah Latimer posted a piece two years ago addressing this issue.

   As JBH notes, there is a great abundance to be had by any individual with a bit of gumption. Knowing that 40% of food produced in our country (yes, 40%, and yes that is wrong) goes to waste, I often save food from grocery store dumpsters. My cost of eating has gone way down since I have adopted this practice of saving food from the landfill.

   Carry on

5. A monumental RED FLAG just happened and I hope nobody missed it. The Federal Reserved backpeddled on interest rates to calm the markets and banks! Forget the fundamentals or the real economy, protect the interests of the banks!

   After all they are holding trillions in worthless debt they can’t unload or pay higher interest rates on. I never though I would see the day, when the Fed can’t print money fast enough to keep the bubble inflated, but here it is.

   The crash will happen when the banks have to sell stocks to cover their bad loans. There is now more debt in the world than assets – it is just that simple.

   1. The fed didn’t change anything they just,”jawboned” the markets(press announcement to alter market perception),otherwise known as defrauding investors(why it isn’t prosecuted?). They will still sell off assets at higher prices

6. I would have liked to have read the article on gleaning but you have to subscribe to The Economist.

7. Preception is everything and the Fed dances to the tune of its master

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