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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?


To: Lazarus who wrote (168491)2/14/2021 7:39:16 PM
From: TobagoJack  Respond to of 219809
 
Re <<All my respect for MA would fit in a thimble and leak through the pin holes>>

:0)

over the many years I have often, and perhaps to often regretted not paying attention to Armstrong even as I often cited him, and for what I thought at the various time good reasons

and yes, he at times writes as if he belongs in the tin-foil hat grouping, as charged by the coconut

but ... about the market, he writes ....

ask-socrates.com

Is the US Share Market Really Overvalued?
SUNDAY, 14 FEBRUARY 2021 BY: MARTY ARMSTRONG



OK, it's time to put on your thinking cap - you are entering the Twilight Zone where reality smacks you in the face and then punches you to the gut. This is The AE Global Value of the US Share Market Index. I have been providing this ONLY for institutional clients for years because it takes an open mind that sees the world as a whole to grasp the significance of this Index which is critical to understanding the long-term and why I have even said the Dow can reach 65,000. Some laugh and think I am just pulling a number out of a place the sun does not shine.





From an International Hedge Fund perspective, there are several factors that I must consider ranging from Country Risk (Politics), fiscal management (debt), to foreign exchange, and of course our capital flow models.



The post-Great Depression high took place in 1968 in terms of our global perspective Index. I was illustrating this chart at our institutional sessions during the early 1980s as our model forecast the start of the takeover boom in 1985 with the start of the Private wave 1985.65.





We took the full-back cover of the London Economist to announce that the Economic Confidence Model was turning and it was the end of deflation. About 6 weeks later the governments got together to create the G5 - now G20.



The Dot.COM Bubble into 2000 was more than just the internet stocks. The capital flows were pouring into the dollar. followed the collapse of Russia in September 1998 and Long-Term Capital Management default. We warned that Russia was about to collapse which the London Financial Times put on the front page of the 2nd section.





All the time, besides the Economic Confidence Model, it was this Index that has to enable us to see if the market was really overvalued or not. Note that even the 2007 high did not come close to 1999 no less 1968. The low in 2009 was the greatest buying opportunity post-Great Depression. Our forecast that the bull market would take off was noted by Barrons and others. But it was reported like - hey! Look at this one!

2019 was the high in value thanks to COVID. The 2009 low was a 41-year decline. The BEAR MARKET in real international value is over! The market is not overvalued and that is precisely the ingredient for the type of rally we are looking at. This will be the mega-shift abandoning all government debt and a major flight of capital into equities.

Everything is relative. It takes some use to see the world through everyone else's eyes all simultaneously. Welcome to the real world!