May 29, 2018
The Italy Crisis is Over, the Run to new All-Time Highs is About to Begin
The “Italy Crisis” is over.
I know the headlines read as though Italy was collapsing and the Euro is about to implode. But the headlines are reporting on yesterday’s news.
The collapse of the Italy government means a new election. That, in turn, means a pro-Euro politician heading Italy. And that in turn means the Italy Crisis is over.
By the way, if this was a FULL-BLOWN panic… Italy’s market wouldn’t be trading at “April 2018 levels.” It would be making new lows. It isn’t. It’s at critical support after running up over 75% this year.
That. Is. Not. A. CRISIS.
Instead, we are about to move into a “white swan” move in which the S&P 500 bounces off of support and makes a run to 3,000+ this summer.
This is not the “Black Swan” I’ve been forecasting since 2 of February 2018. It is "White Swan". It will mark THE blow-off top for the markets.
Chief Market Strategist DHF.
George Town. Cayman Islands.