Armstrong Economics Blog/Euro € Re-Posted Sep 26, 2022 by Martin Armstrong
COMMENT #1: Well done on the GBP
COMMENT #2: Marty; Nobody agreed with you. Socrates is amazing!
COMMENT #3: You can buy your place back in Cornwall Gardens. Fantastic call!
COMMENT #4: Nobody has ever beat you yet on currency forecasting. Thank you, my dollar account has paid off all my debt. Brilliant. Maybe hold your WEC next year in Mexico.
COMMENT #5: Marty, your Ukraine forecast back in 2013 was impressive. However, your currency forecasting is unsurpassed. Great call.
COMMENT #6: Hi Marty,
Great calls to date. It seems as though the UK is currently imploding. Is there any short-term support levels in the currency or is cable heading south of parity in 2022?
REPLY: The problem with most people forecasting is they do it as “I think” and then try to pound their chest as if their reasoning is better than someone else. People try to criticize me when they disagree with what they assume is my personal “reasoning” when in fact I have said many times, Socrates has taught me, as well as all my clients worldwide.
You cannot forecast such things from a personal opinion perspective. It also requires centuries of data. Most people have no idea that the British Pound had ever reached $9.97 in 1864. The collapse of the British pound itself still going into 2026/2027. It’s like the gods are selecting the worst possible world leaders in human history.
Once the pound broke the uptrend line, even technically it was in trouble. Then the support was at 129 & 127. When that gave way, the free-fall began. Technically, the real support begins at the 89 level. This is not over. We will not see a straight decline into 2026/2027, but that is where this is headed. The ideal support will be at the 72 to 76 level by then. Breaking the 1985 low of $1.03 will then point to the 89 area.
Keep in mind, that all roads lead to the dollar because of the geopolitical mess world leaders have created in Ukraine, and even in Taiwan. They either want war or are living a dream and expect that Russia and China are afraid of the West and somehow they are all-powerful. There are no peacemakers anywhere! People who try to argue against me with their personal reasoning are fools. This is not me and my personal opinion. Nobody has ever beaten Socrates – and that includes me.
Schwab’s NWO will fail as did Marx. However, these people “think” that they can hide their sovereign default with war and win against both China and Russia to create this global one-world economy. There is no way this will work and the climate zealots are insane. They think that they can end fossil fuels and then come up with alternatives. They know damn well that what they are doing will cause the death of millions worldwide. They also want to reduce the population.
In the process, the rise in the dollar will kill US exports and start the economic decline in the USA as the rise in the dollar also did during the Great Depression. This will create deflation and the rising interest rates may make some people think that the Fed is achieving its goal, but we have also shortages which are the opposite of the Great Depression.
It was the sharp rise in the dollar that led to Protectionism because the politicians did not understand what was taking place. This rise in the dollar was also the reason Roosevelt confiscated gold and raise its value from $20 to $35 to devalue the dollar.
Thereafter, the US had a two-tier monetary system. Gold for international transactions and silver domestically precisely as what took place back in Florence under the Medicis.