As noted on April 16, 2021, the following key events occurred between June 2007 and June 2008. They also occurred during the last six months.
- Non Commercial Futures Trader short positions peaked in U.S Treasury Bonds
- Long term engrbytrade calculations indicated Copper was near its peak value against the U.S. Dollar
- A 40% retracement in the 10-Yr note occurred on October 15, 2007
In addition to the items noted above:
- Today, the following news article noted a 4.2% increase in the Consumer Price Index. This is the sharpest increase since September 2008.
Inflation speeds up in April as consumer prices leap 4.2%, fastest since 2008
- Engrbytrade calculations indicate SP500 futures trading reporting firms, currency traders, and bond traders are hedged for a decline in the Dow, SP500 and NASDAQ.
- S&P 500 Index vs Margin Debt Year over Year percentage change is above 55%, just as it was in 2000 and 2007.
See:
Zerohedge: Froth
Finra: Margin Statistics
A decline in the Dow, starting in May, is expected to be proportional to the decline between May 2008 and October 2008. This is based on Dow structures developed between January 2018 and May 2021.