Quantitative Tightening

We cover the history of quantitative easing (QE) and quantitative tightening (QT) or unwinding QE and how the Federal Reserve used both interest rate and money supply policy (quantitative easing) to create the easiest money regime in existence. All things must come to an end and with the Fed behind the curve, the stock market is likely to be messy and painful with the fed unwinding QE or unwinding quantitative easing. Quantitative tightening (QT) is the process for the Fed to reverse easy monetary policy (unwinding quantitative easing) and will have implications for stocks, bonds, cryptocurrencies, bitcoin, Ethereum and even things like classic cars, collectables and art. Tech stocks slide in the stock market and inflation soaring, all due to the Quantitative Tightening (QT) as the fed unwinds QE and reduces their balance sheet.

A History of Market Crashes

In our long, storied history of economics, we have seen the rise and fall of many countries, many currencies, many stock markets and many asset classes go through cycles of market crashes. We go through some of the more dramatic Market Crashes like the Dutch Tulip Mania, the crash of 1929, the Japanese Lost Decades, the dot com stock market crash of 2000 and the Great Recession of 2008. We all understand markets are cyclical and will go up and down and market crashes are just part of the economic cycle. Economic crashes typically follow market crashes which brings the pain to the general public, leading to joblessness and lower consumer spending. Understanding market crashes and economic crashes are guaranteed prepare you for when they happen in your lifetime. Being knowledgeable of how to spot a market bubble will help you identify what to do before the market crash.

Economic Cycles & Market Crashes

Maverick Trading Founder and Head Trader, Robb Reinhold, lays the groundwork for identifying, preparing for, and profiting from market cycles and crashes.

Stock Market Cycles

We all know stock markets trade in stock market cycles that go from boom to bust, growth to recession. While traders know that stock market cycles will come and go, it’s hard to identify exactly where we are in the market pattern when we are looking at daily and intra-day charts. In this session, we cover the 4 stock market cycles and the market patterns they form. Each phase of the stock market cycle has certain characteristics that we can use to determine exactly where the stock market cycle is at the moment. Don’t get caught off guard anymore by booms and busts as understanding stock market cycles and identifying market patterns will help your stock trading and option trading.

Yield Curves

In this video we will teach you about the types of yield curves: Normal, flat, steep and inverted yield curves. We will go through how an inverted yield curve signals stress in the market. This is a leading indicator and historically an economic recession normally follows around 1 to 1.5 years after the yield curve inverts. We will show you how to find current yield curves. How to read a chart of the yield curve. And finally, show you when the most recent inverted yield curve signal was given!

10-year minus 2-Year Yield

In this video we dive into one of the very best predictors of an economic recession. When the 10-year minus 2-year yield goes negative. We show you how to access the chart from the St Louis Fed website (fred database). We show the history of this as a leading indicator. And help you under yield curves more fully.