Inflation & Interest Rate Series – The CPI Rally Content:
• Why CPI could be at the beginning of a rally?
• On 14 Dec 21, Fed: “Inflation is not transitory” changes everything
• Strategy to counter inflation
Disclaimer:
• What presented here is not a recommendation, please consult your licensed broker.
• Our mission is to create lateral thinking skills for every investor and trader, knowing when to take a calculated risk with market uncertainty and a bolder risk when opportunity arises.
If you are into shorter-term trading, the live data feed is definitely a must for traders.
In part 2 of this series, we will do a deep dive on if CPI were to decline, to at what specific level? Before we can consider inflation is under control.
Stay tuned for our next episode in this series, we will discuss more on the insight of inflation and rising interest rates. More importantly, how to use this knowledge, turning it to our advantage in these challenging times for all of us.
COMEX Micro Gold
0.1 = US$1
1.0 = US$10
1700 points = US$17,000
Eg. 100 points profit = US$1,000
Yiled
Yield curve inversion and Morgan Stanley predictionMorgan Stanley predicted end of economic cycle in 2021. www.morganstanley.com
And it looks like a yield curve inversion will occur in 2019 or 2020. fred.stlouisfed.org
I combined the above ideas and drew a green line staying in the current bullish trend channel. I drew a red line showing a delayed bearish reaction after a yield curve inversion. Recessions usually follow 3-22 months after a yield curve inversion. The red line shows a drop to a support line by 2021 and then a rally in anticipation of a new economic cycle.
