The S & P 500 is showing mixed technical analysis, while the bear flag is the most obvious in the chart. The bullish price action near support could turn this into a diamond reversal bottom if we continue side ways and print CPI showing positive signs that inflation is slowing. It could also move upwards if CPI prints stagnant proving the increase of rates and QT (quantitative tightening is working). However I don't believe that will last long, IF it even occurs (more of a initial reaction). Continued stagflation will send consumers into panic and saving mode as supply remains low and demand remains high.
Top 3 categories to follow for stagflation/inflation:
1. FOOD
2. OIL/GAS/ENERGY
3. HOUSING
Jerome Powell admits that the FED underestimated inflation.
Always check the essentials that humans need to survive daily. The materialistic stuff will naturally decrease if we lack supply in essentials.
Top 3 categories to follow for stagflation/inflation:
1. FOOD
2. OIL/GAS/ENERGY
3. HOUSING
Jerome Powell admits that the FED underestimated inflation.
Always check the essentials that humans need to survive daily. The materialistic stuff will naturally decrease if we lack supply in essentials.