LOOKING AT THE NASDAQ SUNDAY, AUGUST 24, 2025 BY: MARTIN ARMSTRONG

COMMENT: This guy who commented that Socrates is wrong will not survive very long as an investor. As they say, fools are easily separated from their money. As you have pointed out numerous times, the Federal Reserve cuts rates during economic recessions, and it has never prevented the markets from continuing lower. For your newcomers, the classic case of "the Fed being behind the curve" was the DOT.COM Bubble. The Nasdaq had peaked in March 2000 and was in a severe decline as the dot-com bubble burst. The Fed, recognizing the slowing economy and market turmoil, began an aggressive rate-cutting cycle on January 3, 2001, between scheduled meetings, which was an "inter-meeting cut" that was a signal of major urgency. They cut the Fed Funds rate from 6.5% to 6.0%. They continued cutting rates multiple times throughout 2001. The S&P 500 continued its bear market. Despite the rate cuts, the index fell approximately 13% in the first three months of 2001 and continued to fall.

He needs to learn. You should never judge the next few months on one day's price action.

You know the portfolio I was running. I remember the Array you sent us. It showed a high in 2000, also in Europe. I will look around to see if I still have it.

Keep up the good work. We do need you. GK

REPLY: Yes, there is a learning curve. If you cannot learn from your mistakes, you are doomed. Every loss is worth more than a win because it forces you to examine what you did. I have learned to be a trader not because I was always right, but because I had to experience a loss to grasp how markets actually function. I mentioned at the conference that I bought the high in 1966, and it was that loss that introduced me to the boom-bust cycle. When someone loses money and then blames someone else, they are sealing their own fate. You should have been watching everyone around you as in a car race.

The surefire way to miss a change in trend is to focus just on a single market. Yes, we have Powell who is ready to cut the rate after hearing what I heard from my sources that Trump is ruling out sending troops into Ukraine. If that is maintained, then he can cut rates with less risk of inflation. Yet, rates are NOT the only thing we have to focus on in September. The peace deal is more likely than not going to fail by mid-September. If Trump goes crazy and imposes all sorts of sanctions on Russia, he might as well go to DEFCON ONE and prepare for WWIII.

Look at the NASDAQ. The market did not make new highs, and it peaked with the Array, which has a slightly different pattern. We have rising volatility and a Panic Cycle in 4 weeks. I do not see a CRASH in the sense of a sustained trend. Look at the Monthly Array on the NASDAQ. This showed more of a target for July than August. July closed at 21122.45. If August closes below that number, then this is going to get interesting.