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Economy crash =/= stock market crash?

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  • Type_45
    Type_45 Posts: 1,723 Forumite
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    The FTSE 100 and all share were down 1.9% on Friday, is there a reason for that?
    I didn't see any news reports, maybe a result of a weaker government after their loss of Chesham and Amersham?

    I read an article this morning which cited inflation concerns as the reason.

    HSBC FTSE All World appeared to gain...  whereas VLS100 appeared to dip...  which, if true, means that it's the UK who is now fearing inflation the most...
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    The FTSE 100 and all share were down 1.9% on Friday, is there a reason for that?
    I didn't see any news reports, maybe a result of a weaker government after their loss of Chesham and Amersham?

    Inflation. Becoming a concern for investors globally. 
  • Swipe
    Swipe Posts: 5,648 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    The FTSE 100 and all share were down 1.9% on Friday, is there a reason for that?
    I didn't see any news reports, maybe a result of a weaker government after their loss of Chesham and Amersham?


    James Bullard CEO of St Louis Federal Reserve Bank went on national TV and undermined Powell saying he expected rate rises earlier than predicted which affected global markets.
  • Bobziz
    Bobziz Posts: 669 Forumite
    Fifth Anniversary 500 Posts Name Dropper
    FTSE fell first thing on lower than expected retail sales.
  • beavere38
    beavere38 Posts: 104 Forumite
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    edited 20 June 2021 at 11:53AM
    PLEASE NOTE: These are my thoughts only and are for entertainment purposes and are not intended as investment advice. I believe the drop last week is just the start of a massive stock market correction similar to 1928, 2008 etc. The housing market will also experience a crash. There are plenty of people explaining the thinking for this on youtube. For starters here is the daily FTSE where you can see we have broken down through the upward trendline. 
  • beavere38
    beavere38 Posts: 104 Forumite
    Ninth Anniversary 10 Posts Combo Breaker
    House price growth peaked at 10% in April 2021 (the latest available figures from the ONS) when it gets to 10 historically it has always dropped and it is not impossible for it to rapidly turn negative as seen in 2008. Average house prices also from the ONS. There has been a sharp run up just the same as in 2007 before a sharp drop.  
  • beavere38
    beavere38 Posts: 104 Forumite
    Ninth Anniversary 10 Posts Combo Breaker
    Tesla daily chart. Head and shoulder formation at the top followed by a bear flag which also restested the neckline (the perfect time to short a H&S formation). There is now a triangle formation which could break to the downside in the next few days and once the 54,000 support area has been broken the price should carry on down. 
  • beavere38
    beavere38 Posts: 104 Forumite
    Ninth Anniversary 10 Posts Combo Breaker
    edited 20 June 2021 at 11:55AM
    Bitcoin daily chart. A double head and shoulders if you like. A head a shoulders which itself formed the head of a bigger head and shoulders. Happy to be proved wrong with this analysis but all all I can see right now are warning signs. 
  • beavere38
    beavere38 Posts: 104 Forumite
    Ninth Anniversary 10 Posts Combo Breaker
    German DAX (daily chart) also looking weak
  • beavere38
    beavere38 Posts: 104 Forumite
    Ninth Anniversary 10 Posts Combo Breaker
    S&P 500 not looking promising either. The bottom line has been support for over a year on the weekly chart.
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