Market Wizard Warning: There Will Be Total Chaos
Trader Scott’s Market Blog
February 4, 2017
There is an interview with Victor Sperandeo, where he says the Euro is going to die, “people will stop buying US stocks” (not sure what that means), and he is super bullish on gold. Victor is one of the original Market Wizards, and he’s a sharp guy. While it’s unclear to me what his view is about the US share market – a crash or just lackluster performance, I am completely on board with his view about the Euro. Currency prices/values are either relative to each other, or to something else like gold for instance. It’s understandable why so many people are bearish on the US$. The $ sucks, it’s just that virtually every other countries’ currencies are either suckier, or way suckier, like the Euro block. And it’s been part of my reason for being so bullish on gold since believing it was time to buy in December 2015. And from two years agowhyit’s important to continue watching/monitoring gold’s performance against all currencies. For the people who have been following this, gold is slowly, but persistently regaining its’ historical monetary role. It has performed wonderfully against troubled currencies like the Turkish Lira. But goldagainst the Yen (inverse to the $), for instance, is still in sync. That correlation will need to break down, and I expect it to, for gold’s more sustained moves. All gold needs to begin to “surprise” the mainstream, is for there to be big problems with one major currency, not necessarily the US$. It’s how I can be generally bullish on gold and the $ at the same time, although certainly not every single week. I turned cautious intermediate-term on the $ late last year. But the Euro disaster – politically, and banking-wise is still to come. And it’s value relative to the $, is the point. But this year, the $ won’t be the only alternative. We just need to get there first. The interview (edited) is below:
Victor Sperandeo: “What people are underestimating is the upcoming election in the Netherlands on March 15. A month later France is going to hold their election Victor Sperandeo continues: “Greert Wilders, who is running to lead the Netherlands, is going to win that election. He was arrested for making the claim, in a nice way, that Muslims should stay in their own countries and not come to the Netherlands. So he is pissed off and so are many of the people in the Netherlands. And Wilders is going to win that election and get the Netherlands out of the EU. And over in France, Le Pen is now in the lead and she is going to win and pull France out of the EU. The euro is going to go away and each country will go back to their own currencies. So what is going to happen in the aftermath of this, Eric, is complete chaos and world depression! The EU is toast and the whole world is going to feel the effects of the collapse of the EU. As an example, there will be extreme inflation in countries such as Italy. And what is going to happen to the U.S. stock market? People will stop buying U.S. stocks because the whole world is going to go into a depression. There will be absolute chaos starting on March 15 and nobody is talking about it. The populist movement, which are people who have been ……, are moving away from the globalist movement. And when 27 countries get their own printing presses back it will be chaos. I have been tempted to go 100 percent long gold. It’s such a slam dunk that the world is in trouble. The EU was built on France and Germany, so without France there is no EU. Gold will be in extreme demand when this unfolds and that is why the gold market is already firming up. Eric, I promise you there will be total chaos.”
Trader Scott has been involved with markets for over twenty years. Initially he was an individual floor trader and member of the Midwest Stock Exchange, which then led to a much better opportunity at the Chicago Board Options Exchange. By his early 30’s, he had become very successful in markets, but a health situation caused him to back away from the grind of being a full time floor trader. During this time away from markets, Scott was completely focused on educating himself about true overall health and natural healing which remains a passion to this day.Scott returned to markets over fifteen years ago where he continues as an independent trader.