There’s Only One Way To Read Business Insider – Stoned
Off the keyboard of Chartist Friend from Pittsburgh
Published on Chartist Friend From Pittsburgh on December 30, 2012
Discuss this article at the Market Flambe Table inside the Diner
The world didn’t end on the 21st, but in retrospect the key word in that prophecy was “end”, not “world”. Something was bound to come to an end at that time, and for me it turned out to be my pill-popping, binge drinking ways. When practically every week you hear a new story about a friend getting a DUI and you’ve managed to accomplish nearly three decades of partying without getting one yourself, that brief moment of clarity arrives in between buzzes where the thought enters your head that maybe your guardian driving angel isn’t going to put up with your crap forever and it’s time to slow down. As in stop. It’s a dead end.
My increased mental acuity is causing me to fully acknowledge what a crime it is when someone rips off your work without any credit or attribution. It’s even worse when the articles your work appears in are a total joke.
http://www.businessinsider.com/how-to-fix-the-deficit-in-one-simple-chart-2012-12
http://www.businessinsider.com/closing-the-deficit-is-painless-2012-12
The chart I sent to the author illustrates a key economic correlation that exists between federal government debt and the unemployment rate.
The author, who decided to reprint my work without any attribution, has written two articles so far in which a disguised version of my chart is used to make a highly simplistic point that fails to make any sense:
- “The answer there is, once again, improve the employment picture (i.e., increase growth).”
- “Want to get the red line down to its historical range closer to 22 percent of GDP? Improve the unemployment rate! This makes total logical sense, of course, since lower unemployment implies reduced spending on all kinds or programs.”
- “The deficit has been driven by unemployment, which means … Closing the deficit is painless. It’s not about belt-tightening, it’s about putting more people to work, which is something that everyone loves.”
- “The bottom line is that pain and belt tightening are associated with higher deficits.”
No, the bottom line is that pleasure does not exist with pain; booms don’t exist without busts, and any person writing about the economy who fails to address the wavelike, Yin-Yang nature of the business cycle does not deserve to be read except by readers who are completely stoned.
Your Chartist Friend’s theory of Curvilinear Wave Analysis will ultimately be proven to be the technical master key for unlocking the trend analysis of the markets. The business cycle will be renamed the business curve.
Simplistic sine wave charts like this
will eventually be redrawn to detail the full wave structure of the business curve: a top or bottom reversal that revolves around a key support or resistance trendline, a break through that line, a correction that pulls the wave back to that line, and finally a continuation of the trend in the direction of the breakout or breakdown
This head & shoulders like wave structure appears over and over again on stock charts, index charts, FRED charts, etc. If you understand the pattern and then apply Curvilinear Wave Analysis to the unemployment rate – federal government debt correlation chart, there’s only one conclusion you can arrive at: the UNRATE is going higher; USDEBT is going higher along with it, and there’s not a goddamned thing Obama, the Fed, Business Insider or the Congress can do about it.
All you can do is short the fuck out of the stock market and prepare for massive economic contraction
