Crash inbound. 99% chance

FWIW I think we will be dropping to where the purple box is on my chart.

The bottom chart is the 2/10 inversion, with the inversion line being that horizontal blue line going across the chart. This means the 2 year bond is yielding a higher percentage than the 10 year bond, which means investors are rushing into long term bonds. What you can see from the horizontal green line on the bottom chart is that we are, as of right now, higher than we have ever been inverted historically, at least as far back as I can get the charts to go. Harry Dent made this his thesis for his dissertation, and surprisingly it has held up. Every single time there has been an inversion, or the bottom chart crossed that blue line indicating that there is an inversion, there was a correlating crash in the orange chart, or the SPX. I've depicted inversions and crashes in orange circles. The time frame is around 7-22 months for the whole crash to play out and the market to bottom. The small inversion in August 2019 led to the 2020 Covid crash, which could have been a coincidence. However, when a coincidence repeats itself accurately every single time something happens we call that a theory.

So my theory is that we will experience a 35-56% drop, just like the last three inversion. The market will bottom between March 2023 and June 2024. My reasoning is that the inversion has been so dramatic and the level of inversion is unprecedented. I will be purchasing some 2 year market puts next week and average into them if they start going against me.