May 30, 2018
The Italy Doom is Misguided. PERIOD.
The current view trending in social media as well as most of the financial media is that Italy is about to trigger a systemic collapse of Europe.
Those proposing this theory are using charts of Italy’s bond yields and stock market that focus on the last few years when the country was being priced at a ridiculously low risk.
Long-term Italy’s stock market is trading within a very clear a defined channel. This is the “end of the world” that everyone is talking about. From the look of things Italy has had it at least three times before since 2009.
As I said yesterday...That. Is. Not. A. CRISIS.
Indeed, Italy is SO dangerous that the NASDAQ and Russell 2000 were effectively FLAT yesterday during the "meltdown."
Currently, the S&P 500 is UP today. And this is just the start...
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.