[Must-See Video] Walking You Through a Fed Intervention
Yesterday, I encouraged you to send in your questions about the market anomaly I’ve discovered and have been covering all week.
One of the main ones I’m getting so far is about how stocks can go up while volume goes down. It’s a great question.
And today, I recorded a quick screen capture so you can see this happening in greater detail.
You can see it below.
But first, allow me to recap what we’ve covered so far.
Throughout the last week, I’ve outlined how central banks are actively manipulating the stock market – including the U.S. Federal Reserve.
Some banks, like the Swiss National Bank or the Bank of Japan, simply print money and buy stocks outright like normal investors.
In contrast, the Fed likes to intervene at key moments to stop the market from breaking down in a meaningful way.
To do this, the Fed focuses on intervening in the four largest stocks, buying them at key moments. At that point, automated computer trading programs – which comprise 90% of all stock market volume – take care of the rest, buying everything under the sun and moving the whole market higher. You can review this in more detail here.
Now let’s get to the video.
I’d love to hear from you if you have feedback or questions on this. Click here to write in.
Editor, Money & Crisis