Entering text into the input field will update the search result below

Sentiment Speaks: Here Is A Critical Stock Market Lesson I Learned Being 'Fed Up' On Vacation


  • I have always viewed the Fed as not being quite as powerful as the market believes.
  • Ms. Danielle DiMartino Booth, an insider in the Dallas Fed, explained how inept the Fed truly is.
  • Those that place their faith in the Fed in the next financial crisis may find themselves on the losing side of the market decline.
  • This idea was discussed in more depth with members of my private investing community, The Market Pinball Wizard. Start your free trial today »

Over the last seven years, as we have grown to well over 4000 members in our various services, I am often asked by our members to opine about various financial books. Clearly, I am unable to read all of the ones being asked of me, but when enough of the members I trust suggest a certain book, I will usually take it with me on vacation.

I just came back from a little over a week-long vacation, and was able to spend some time with family in Florida, as well as on the cruise ship The Disney Magic. (In fact, I highly recommend the Disney cruises to anyone with children, as their children’s activities are second to none). So, when sitting on my veranda, I was enjoying catching up on some of my reading. And, among the books I read was one entitled “Fed Up,” by Mrs. Danielle DiMartino Booth, as suggested to me by a number of my members.

Most readers believe that the Fed or the government rescued the world from financial collapse in 2008/09. I would imagine that is why Ben Bernanke was chosen as Time’s Person of the Year for 2009.

However, the facts suggest something quite different.

For those of you who have followed my writings through the years, you know I am not a big fan of the Fed. Moreover, you also would know that I do not believe they are anywhere near as omnipotent as most in the market believe.

Recently, I presented my thesis to readers, along with supporting episodes in history.

For anyone who is willing to view the data in an honest way, it is rather clear that central banks do not control markets to the extent that so many believe.

And, as this chart shows, during the financial debacle of 2008, the

The Market Pinball Wizard

"If you want to be on the right side of the market... this is the service for you. Great way to monitor the market and to know your portfolio is still geared with the trend. Avi cares about his clients and in this industry that's very hard to find!"

“Avi Gilburt has demonstrated uncanny accuracy in his market technical analysis”

“I have been following you for a year and your accuracy is amazing. I am an old timer and I have never seen anything like it.”

Click here for a FREE TRIAL.

This article was written by

Avi Gilburt profile picture
The #1 Service For Market and Metals Direction!
Avi Gilburt is founder of ElliottWaveTrader.net, a live trading room and member forum focusing on Elliott Wave market analysis with over 6000 members and almost 1000 money manager clients. Avi emphasizes a comprehensive reading of charts and wave counts that is free of personal bias or predisposition.

Avi is an accountant and a lawyer by training. His education background includes his graduating college with dual accounting and economics majors, and he then passed all four parts of the CPA exam at once right after he graduated college. He then earned his Juris Doctorate in an advanced two and a half year program at the St. John’s School of Law in New York, where he graduated cumlaude, and in the top 5% of his class. He then went onto the NYU School of Law for his masters of law in taxation (LL.M.).

Before retiring from his legal career, Avi was a partner and National Director at a major national firm. During his legal career, he spearheaded a number of acquisition transactions worth hundreds of millions to billions of dollars in value. So, clearly, Mr. Gilburt has a detailed understanding how businesses work and are valued.

Yet, when it came to learning how to accurately analyze the financial markets, Avi had to unlearn everything he learned in economics in order to maintain on the correct side of the market the great majority of the time. In fact, once he came to the realization that economics and geopolitics fail to assist in understanding how the market works, it allowed him to view financial markets from a more accurate perspective.

For those interested in how Avi went from a successful lawyer and accountant to become the founder of Elliottwavetrader.net, his detailed story is linked here.
Since Avi began providing his analysis to the public, he has made some spectacular market calls which has earned him the reputation of being one of the best technical analysts in the world.

As an example of some of his most notable astounding market calls, in July of 2011, he called for the USD to begin a multi-year rally from the 74 region to an ideal target of 103.53. In January of 2017, the DXY struck 103.82 and began a pullback expected by Avi.

As another example of one of his astounding calls, Avi called the top in the gold market during its parabolic phase in 2011, with an ideal target of $1,915. As we all know, gold hit a high of $1,921, and pulled back for over 4 years since that time. The night that gold hit its lows in December of 2015, Avi was telling his subscribers that he was on the phone with his broker buying a large order of physical gold, while he had been accumulating individual miner stocks that month, and had just opened the EWT Miners Portfolio to begin buying individual miners stocks due to his expectation of an impending low in the complex.

One of his most shocking calls in the stock market was his call in 2015 for the S&P500 to rally from the 1800SPX region to the 2600SPX region, whereas it would coincide with a “global melt-up” in many other assets. Moreover, he was banging on the table in November of 2016 that we were about to enter the most powerful phase of the rally to 2600SPX, and he strongly noted that it did not matter who won the 2016 election in the US, despite many believing that the market would “crash” if Trump would win the election. This was indeed a testament to the accuracy of the Fibonacci Pinball method that Avi developed.

Analyst’s Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it. I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.