Bear Squeeze Coming Soon As Wave Two UP Is About To Start…

Now that everyone (including Grandma and the local shoe shine boy) is all aboard the bear train… it’s time to steal their money!

Yes folks, as bearish as I am about the economy and the Great Depression Two that we are entering, nothing goes straight down forever.  If it did, then the little guys would make money and the big boys would lose money… which you know isn’t going to happen.  The wolves will always trick the sheep into giving their money to them (unwilling of course).  This time is NO different!

(to watch on youtube: http://www.youtube.com/watch?v=I9UT1Kqy0fE)

Just about all the charts are in oversold levels and area’s of “capitulation”… meaning a strong rally is coming soon.  The market is at major support level’s on all most all of the different indexes, and should force a multi-week rally to start this coming week.  While I’m not sure what each day will bring next week, I do see positive close on the weekly chart.  This should start a wave 2 up that should go up higher then most bears expect… meaning, it could go above my previous thoughts of 1320 spx.

Here’s my thoughts if Scenario One plays out…

While the daily chart is about to get a crossover of the 50dma over the 100dma, confirming the new downtrend, I do expect that to be hit (currently around 1320) and pierced through.  Call that area the last “bear trap”, (as I’m sure there will be many before it), as one finally push up to a double top from the 1340 area should follow.  However, by the time the market makes it up to the 50 and 100 day moving averages, they will likely be lower around 1310 or so.

I do expect a pullback in that zone, but I don’t think it will be the start of wave 3 down, but instead just a wave 4 pullback from a 5 wave push up inside this larger wave 2 up.  The charts are just too bearish right now and all those bears need to be squeezed out before the next larger wave 3 down starts… at least that’s what my theory is on this Scenario.

The other possibility is Scenario Two…

The only thing that would make me think differently is if the rally was extremely fast… as in “less then 2 weeks”.  Then the necktie of resistance where the 50 and 100 day moving average cross would slam the market back down hard and fast… which would then be the likely start of larger wave 3 down.

However, I think a more longer and choppy ride up will occur, that takes 3-5 weeks… allowing the daily chart to move from the -15 area on the MACD’s to the positive 10-15 area (Scenario One).  That would turn the weekly chart back up and the Full Stocastic’s would make a short lived hook pattern like the June-July period of 2010.  This would allow for another wave down as the Histogram bars move up putting in a higher low (making a positive divergence) while the market makes a lower low (the 200ma around 1150 would be my best guess for a target bottom).

Here how I see it all playing out…

The “reverse engineering” thoughts are that we start will the week of October 23rd as being the start of the Wave 3, of 3, of 3, of 3, etc… and work our way back.  Since we have likely topped for the year I’d say that we are now in Primary Wave 3 down, ending Primary Wave 2 up from the March 2009 low at 666 spx.  Then I’d speculate that the first Major Wave 1 down will conclude around the 200ma around 1150 spx.  From there we should rally back up for Major Wave 2 into October.  A likely target would be the 5oma ,or 20ma (on the weekly chart again).

Ok, then we should start the first Minor Wave down inside of Major Wave 3 down (inside of Primary Wave 3 down), and bounce back up at some point prior to the week of October 23rd for that Minor Wave 2 to end.  Then we should have Minor Wave 3 down, inside of Major Wave 3, inside of Primary Wave 3 start… which should be the most powerful wave since the first Great Depression in 1929!

This is where you should see a 1000 point drop in one week happen… yeah, scary stuff!  It all centered around the Elenin (Planet X or Nibiru) crossing between the Earth and the Sun causing an massive Pole Shift wiping out 80-90% of the world population.  Will it happen, or is it just a hoax that the Illuminati created to bring on the end times prophecy foretold in the Bible?  I can’t answer that of course, but if it is just a hoax, it’s the best magic trick these evil reptilian gangsters have done yet!

Here’s a video explaining the path of Elenin, according to the NASA website, (which is of course controlled by the Illuminati), so that begs one to wonder why they are making the information available to the public?  Do they want to create fear on purpose so they can bring about the end of the world?  By giving people access to the site they are encouraging us sheep to spread this horrible news around the internet… which serves their agenda with the creation of the “New World Order”, where we will all be “chipped” and monitored 24/7… for our one safety of course.  LOL!

However, there is the other side of the story from people like Dolores Canon who believes that the good Aliens (the Pleiadeans… or Angels?) will protect Earth from a pole shift happening as everyone thinks will occur.  According to her, we are splitting into another different earth and this new earth will a wonderful place.  Here’s her story in this video below.  One incredible woman she is, and someone I respect and believe is telling the truth as she knows it.  I would truly love to met her and learn how to heal people like she does.

There is also the insider “whistleblower” Dan Burisch that works inside Majestic 12, the government agency assigned to investigate all UFO crashes since the 1947 Roswell, New Mexico event.  There was even a TV Series called “Dark Skies” that was all about what Majestic 12 did.  According to Burisch, we are going down a different timeline then the one that the world is destroyed by a polar shift.  In that timeline, Hilary Clinton was president and assassinated while in office.  She looked into the “Looking Glass” stargate and seen this in her future, but Obama won the election which makes Burisch believe we are on another timeline.  This new timeline doesn’t have the world experiencing a polar shift and killing billions (which is good news for us of course).

This first video is about Dan’s history and his abduction as a young boy…

http://www.youtube.com/watch?v=KhK3Os_eE4g

This video goes more into his part in Majestic 12, and his communication with J-rod alien…

http://www.youtube.com/watch?v=fYpbzHltJc8&NR=1

The conclusion to this interview talks about the Men in Black…

http://www.youtube.com/watch?v=-nn5-PATk6I

This one talks about the stargates and the different timelines…

More about the timelines and the stargates…

Putting this all together with the rituals that the Illuminati Reptilians are trying to make happen, leads me to believe that any event that happens (or not?) will still make this October the ugliest one in the history of the Stock Market!  Regardless of whether or not the Elenin event happens or not, the market is still doomed.  The gangsters will eventually be forced to crash the market to destroy America as planned, and wipeout all the derivatives that they created indebting the public for generations to come.  They know it’s not possible to pay the debt, so they must eliminate it with the coming crash.

Moving on to the short term charts…

With Monday having double POMO, and the daily charts looking ready to point up, we could have a big rally occur.  The 60 minute charts now have a 3 point positive divergence which also leads me to believe a strong move up is coming Monday.  The dollar also hit a major resistance level on the weekly chart, and should go back down too.  Then there is the extreme… and I mean extreme, put to call ratio.  The bottom line is that too many people are way too bearish right now.  Everyone can’t be on the same side of the trade, or else there wouldn’t be a market to trade.

So, if you are a bear, you might only have a few days this week to exit your position before wave 2 up squeezes all the bears.  Since the 60 minute chart is pointing down on the histogram bars, as well as the 30 minute chart, I’d guess that early Monday might be the low for the week.  An “inverse head and shoulders” pattern looks to be forming now, and should push the market up for several weeks.

I do think it will be choppy, but overall I expect the short term trend to be UP for now.  I don’t know if it will be Scenario One or Two, as one has us going to about 1310 and the other to about 1350, but we should be able to get a better idea once the move up starts.  After it is finished, again I think we will go down to about the 1150 area at the 200ma on the weekly chart.

This is looking a lot like the fall period in 2007, with the September-November 2008 period coming this October.  Right now we are above the 200ma on the weekly, but once it goes below it… look out for the “crash of all crashes” to start!

Red

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