M2SL | Duplex Megaprinter 8000 ™

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Back in the 80s, we thought that by 2020 we would have an automated oven and flying cars. All we got is a money printer, and we liked it. We played with it a lot. And this year for Christmas, who wouldn't like some more printer ammo?

Since high inflation cannot ensure social stability, we have only one option. Lower inflation. That is the motto of the FED, the hope of every investor, a lower inflation figure. The consumer is overwhelmed from the increasing cost to survive. The inflation war is nowhere near it's end. We have gone from commodity inflation to services inflation, to the everything inflation. We haven't managed to stop it. What if there was another way?

Actually there is another way. If you break the oath of "never read the news" and actually read the news, you will realize that the average consumer is getting the help they need from grants. Governments throughout the world have found the way for social stability. They simply buy us off.

Record high electricity bill? No problem, here is a grant, the government is paying a percentage of the bill as a help.
Expensive fuel? Here are 100€ in fuel discount to go to work.

It is like the best Christmas ever. Businesses get to enjoy 100% of the earnings they want, consumers consume, and governments have social and financial stability. They just have to keep the game going, keep the printer full of ink. Everyone is happy. One could say that this perfect scenario we are in cannot fail. And even if it breaks, we keep the printer rolling.

Sometime in the not-so-distant-future of course, something could break. We have just moved the problem from the consumer to the investor/corporation/government. We have gained some time. It is just incredibly difficult for me to understand what could break if this game goes on and who will take the dive. At what point will this printer stop helping us?

Right now it helps many. Also go out and talk with people, almost nobody talks about inflation as a problem that could completely destabilize the global economy. They just care about the immediate issue, that everything is expensive.

We are humans, and not a very wise kind. We are an infant species (like Dr. Breen said). Even now that we realize what we have created, and try to solve it, we do it in a fashion that will ultimately turn against us. We buy out everyone and everything, we have made humans more dependent. With all that technology around us, I realize that we are incredibly fragile. We haven't managed to be empowered from technology, we are swallowed in it. And we hate the word Plan B, imagine how trapped we are in when we don't cover our bases.

We buy out our problems because we search for the easy way out. That's the reason we made the printer in the first place. We needed to solve one issue, ignoring the future repercussions.

After all that epilogue, I will now add the prologue. This idea is upside down, like everything around us these days.

On the main chart, we see that we have found support on the weekly ribbon.
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The 1M (and 2M) chart suggests that we are heavily supported from below.
Do note that dropping oscillator on money supply does not mean significant price drop. Since money supply increases exponentially, a bearish oscillator suggests that we are on the upper side of the trend.

This chart shows us the Reverse Repurchase Aggreements.
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We have RSI divergence, and stochastics dont help the situation. RRPONTTLD dropping is signaling QE.

As SPY_Master stated in this idea, this chart shows us the effort the FED does to fight inflation.
Here's Why the Stock Market is at Risk of Further Decline


Yields show a similar picture. We are under significant resistance from the 200EMA in the 2M chart. Stochastics print a bearish signal.
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CURRCIR/M2SL may be printing a bull flag.
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What will be the effect if currency-in-circulation increases compared to money supply? How will prices and inflation react? We have already had significant increase in the past year in the ratio.

US money supply is showing signs of increasing, or at least stagnating. This chart comparing US and EU is alarming...
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Tread lightly, for this is hallowed ground.
-Father Grigori
Комментарий
I wanted to add some "advice" on the MESA oscillator.
With this indicator I found out that we can have some early notification and later a confirmation.

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FEDFUNDSM2SLSPX (S&P 500 Index)SPDR S&P 500 ETF (SPY) Trend AnalysisUS02YUS10Yus500USIRYY

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