They’ve done it before. And, it’s the only action that could truly punish Russia while helping to solve the inflation problem.

The charts fully support it, with loads of logical downside targets just begging to be tagged.

Yes, stocks would suffer too. But, you can’t have everything. And, if it gets underway quickly enough, there’s still plenty of support for equities at the -20% mark or higher.

continued for members…

The bigger picture for stocks shows things are still being managed very carefully. Remember, the Fed is still in QE mode. And, you simply don’t get perfectly formed channels like this without an architect in charge.

VIX halted yesterday at the former highs as well as the top of the internal yellow channel. It was the rapid smackdown to the red TL that reversed stocks’ earlier plunge. Crashing the oil market might mean the DXY, which finally reached our 97.727 target yesterday, legs up to 99-100……as the EURUSD completes its bat pattern to 1.0829.USDJPY could compensate or not.  It’s obviously overdue for a correction, but that hasn’t meant much for the past year.Best of all, it would temper inflation while getting interest rates back where the Fed needs them.With any luck, they might be able to do something about the other commodities which have broken out.

I’ll be traveling the rest of the day so will sign off for now.

GLTA.