I was struck by this comment, which was the first one made in my Perfectly Pinned post from last night:
I get the sense I’m being patted on the hand and told that Jerome Powell is now omnipotent, and – – as Janet Yellen said – – we will never have another financial crisis in our lifetimes.
I understand the sentiment, but I disagree. Not only do I think we’re going to get a financial crisis, but I think that Powell’s shameless plastering-over of our true problems is going to make the next crisis bigger than anything we’ve ever seen. At this point, I am most focused on what is going on with small caps, as illustrated by what is still a completely valid topping pattern (not yet complete) in the /RTY: