Showing posts with label Economic Confidence Model. Show all posts
Showing posts with label Economic Confidence Model. Show all posts

Thursday, March 14, 2024

Happy Pi Day | Martin A. Armstrong

Perhaps it was my fate or destiny since I grew up in Maple Shade, New Jersey, with the house address of 314 South Lippincott Avenue. What a coincidence.
 
 

When I discovered that list of international panics and divided simply 26 into 224 years, it came out with 8.6153. Multiply that by 365 days = 3,144. Suddenly, the accuracy of the Economic Confidence Model (ECM) made sense – it was Pi, the magic number that the Egyptians even used to build the Pyramids.
 
 
See also:
 
 [The ECM does not track or forecast individual financial instruments, securities, or markets.]

Thursday, January 12, 2023

Understanding the Real Economy | Martin A. Armstrong

Pieter Bruegel the Elder - Big Fish Eat Little Fish, 1556

Martin A. Armstrong (May 15, 2009) - The Economic Confidence Model that I discovered back in the 1970s was not based on any particular market or economy. It was devised by taking a list of world panics in the economy, irrespective of where they began, utilizing a list of 26 events between 1683 and 1907. It was dividing 26 into the 224 year time period that produced the basic frequency of 8.615384615. Like Adam Smith, I set out upon a course of observation to try to understand what made a cycle even exist. Through the course of my studies of the past and observations of the present, I came to realize that the observations uncovered a rich and dynamic structure of interactivity between mankind himself, as well as nature from weather to earthquakes. In short, what scientists were just then discovering with the aid of computers that could do millions of calculations impossible by hand, that the image of chaos has been completely altered. What may appear to be chaos, is in reality, only complex interaction that can be observed by only pealing back layers upon layers like an onion.
 
Written by Martin Armstrong on a type-writer while imprisioned in FCI, Fort Dix, New Jersey, 2009.

[...] Now that we understand what makes one economy boom against all others, or a particular sector within an economy because Capital Concentrates, now we can look at the ECM with the proper perspective. This is a global model of economic activity that highlights the raw fact that man will speculate no matter what and that creates the Capital Concentration. The ECM gives us the perspective of short-term business cycle movements at the 8.615384615 year level, but this frequency moved both up and down in time in layers like an onion. It builds into groups of 6 waves forming a 51.6 year major cyclical wave where confidence between the people and the state alternate at the generational level. This builds into 6 waves again of 51.6 years into 309.6 year waves upon which nations rise and fall.
 
 
[...] There are those who no matter what you show them or what you say they will never believe in cycles. For those of us who do, we need that disbelief to trade against. There always has to be two sides to a coin, as well as a market.


[...] Look a major collapses from all bubble tops and this is what you will find. The minimum amount of time to complete the fall and decline is this 31-34 month time period except in the Waterfall Events.

[...] There has been a lot written about the Science of Chaos. The true person to develop this field was B. Mandelbrot. The science of chaos that produced the fractal geometry I regard from a pure economic perspective as a proof of the existence of layers upon layers, but it offers no predictive value for our real economy in the traditional sense.

 
[...] What fractal geometry demonstrates is that there is no real just chaos, just such degree of complexity that our eye has been unable to see the complex order. Fractal Geometry and its insights is based upon Complex Numbers. For those who do not remember the school days, unlike all other numbers, the Complex Numbers do not exist on a horizontal plane. The Natural Numbers 1 through 9, for example, can be plotted on a horizontal line.
 

[...]
Unlike Natural Numbers, Complex Numbers do not exist on a horizontal line. They exist only on an x-y coordinate time plane where Natural Numbers and Regular Numbers on a horizontal grid combine into what we call Imaginary Numbers on the vertical grid. These Imaginary Numbers are simply numbers where taking a negative number times another negative number produces a negative instead of a positive number, i.e. -2 * -2 = -4.


[...]
We can see from the above illustration of the Economic Confidence Model that there has always been a delicate dance between the effects that follow the path of “time” as the Fourth Dimension adds to the basic equation What-How-Where with the fourth variable “When” and now we have the hidden complex field behind everything that adds the next portion to the equation “Why” that can be explained only by the Fifth Dimension of complex interaction through the process of “self-referral” that allows history to repeat. We are getting closer to the real causes and effects that have tormented mankind and often caused such hardship by the attribution of normal events to the folly of gods.


 
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Wednesday, June 24, 2015

US Stocks May Double into 2017 | Martin Armstrong

HERE
This is in line with the Lunar Node Projection for the US-Economy:
HERE & HERE 
Martin Armstrong (06/18/2015) - 18,500 [in the DJIA] has capped the US stock market for right now, so we're not breaking out. We'll get through that. The next level is 23,000 [after a consolidation in fall 2015]. If we get through that area ... then you're looking at the final phase transition that will probably take us into 2017 where, yes, the stock market can double.

[...] With bond yields pushed down to all-time lows, bond prices are now at all-time highs. As rates eventually start to move up, large investors will try to prevent losses by shifting into other areas with US assets, particularly stocks and real estate, serving as the most likely destination.

Thursday, March 15, 2012

The 8.6 Year Global Business Cycle 2002 - 2028 | Martin A. Armstrong

We have now crossed that peak in the current wave — 2007.15 (February 27th, 2007). We can see that the Economic Confidence Model projects out beyond my life expectancy and it will function long after I am gone as it did long before I was born. These 8.6 year waves that reflect the Business Cycle are calculated by taking the per cent of 365 days for that year. For example, 2015.75 produces (.75 x 365) that is 273.75 days into that year = October 1st, 2015. The low for this current economic debacle should be 2011.45 = June 13th, 2011.
 

The minor mid wave turning points break down as the first leg being 2.15 years or a quarter of the 8.6 year wave. The next quarter wave is typically broken into half again creating two 1.075 year weaves. We can see that in the current wave, the mid-wave turning points were 1908.225 (March 23, 2008) and 2009.3 (March 19th, 2009). Typically, these waves do not produce specific turning points to the day as is the case at the major turning points. This is due to the fact that internally there is yet another layer of activity, the 8.6 month cycle that constitute 6 weeks within each leg of the 8.6 year cycle. Again we see the structure following groupings of 6 units. This 8.6 month level of activity constitutes 37.33 weeks. There is yet another layer beneath this calculated in 8.6 week intervals, followed by still another 8.6 days, hours, minutes and believe it or not seconds.
 

2002.850  =  2000-Nov-06 (Mon)  =  Major Low
2005.000  =  2005-Jan-01 (Sat)  =  High
2006.075  =  2006-Jan-28 (Sat)  =  Low
2007.150  =  2007-Feb-24 (Sat)  =  Major High
2008.225  =  2008-Mar-23 (Sun)  =  Low
2009.300  =  2009-Apr-20 (Mon)  =  High
2011.450  =  2011-Jun-14 (Tue)  =  Major Low
2013.600  =  2013-Aug-08 (Thu)  =  High
2014.675  =  2014-Sep-04 (Thu)  =  Low
2015.750  =  2015-Oct-01 (Thu)  =  Major High
2016.825  =  2016-Oct-28 (Fri)  =  Low
2017.900  =  2017-Nov-25 (Sat)  =  High
2020.050  =  2020-Jan-19 (Sun)  =  Major Low
2022.200  =  2022-Mar-15 (Tue)  =  High
2023.275  =  2023-Apr-11 (Tue)  =  Low
2024.350  =  2024-May-07 (Tue)  =  Major High
2025.425  =  2025-Jun-05 (Thu)  =  Low
2026.500  =  2026-Jul-02 (Thu)  =  High
2028.650  =  2028-Aug-25 (Fri)  =  Major Low