From Rayelan -- Publisher RMNews:
On Tuesday, October 24th, I received an email from Richard McClendon in Houston, Texas. After reading it, I realized that Richard agreed with me about the coming stock market crash, and he provided facts, figures and charts to back it up.
At 11:43pm on the 24th I sent Richard's emails to my Egroups webpage. I then linked it to the front page of Rumor Mill under this headline:
MARKET CRASH BY NOVEMBER 7TH?
A comparison of the markets of 1929, 1987 and today. This is what the main stream media isn't telling you.
The next day, October 25th, the Nasdaq fell 190 points. That is equivalent to a 600 point drop in the DOW.
You can check the original post to Egroups at this URL.
http://www.egroups.com/message/RMNEWS_DAILY_EMAILS/7092
I checked out Richard's professional background, which you can find at:
http://home.flash.net/~rhmjr/whoami.html
His professional background is 38 years in the computer software industry. He started in 1962, fresh out of high school, as a computer operator and worked up through the ranks.
In 1968 he began investigating the stock market and ventured into stocks, warrants, options, municipal bonds, commodities and limited partnership interests in oil wells, filmmaking and real estate. Along the way he discovered, as many of us have, what our government has done to our money.
Richard believes in the 500 year cycle described in "The Great Reckoning". I am not familiar with "The Great Reckoning", but I am familiar with the 500 year cycles described to me by the Hapsburgs I met in Austria.
In 1996 Richard began working with another local man. They studied the Elliott wave and began collecting daily data for the Dow, S&P 500 and Nasdaq markets.
Through these studies, Richard discovered the 54 day crash pattern, the little hump in the price graph on the 40th day (of 54 days), the final two week slide into the crash low and the fact that 50-70% of all of the points lost is in the last 4 trading days. Richard has put this into charts which you can pull up and see for yourself.
Richard believes that what he has discovered points to a disasterous and historic crash of the US stock market ... possibly as soon as November 7th.
Here are some quotes, provided by Richard, from
The Great Reckoning
by James Dale Davidson &
Lord William Reese-Mogg
(c) 1993 Simon & Schuster ISBN 0-671-86994-9
--- If you want to skip this and go directly to Richard's webpage to see the charts, here is the URL ---
http://home.flash.net/~rhmjr/index.html
Quotes from "The Great Reckoning"
. . . A major confirmation of the onset of depression will be a concerted effort on the part of political authorities to locate scapegoats for the slump. Every slump and market crash in history has been blamed upon something other than a decline in economic prospects.
The pattern is infallible.
The blame is fixed partly on some technical factor:
short-selling, margin abuse, etc.; and partly on some fraud or peculation of wicked manipulators. . .
"Sustaining the Morale of the People"
. . . We had hints of this with the work of the Brady Commission after the 1987 crash. . .
. . . Can you imagine a major newspaper (much less the leaders of a country) saying that stocks fell because objective conditions no longer supported their further rise?
. . . politicians have continued to pretend that all was well long after events provided impressive evidence to the contrary. . .
In spite of these often well-intended gestures, the economy will shift into a contraction that government will be powerless to abate. Asset prices, especially real estate and stocks, will tumble. Credit will contract.
Governments hungry for reelection will panic as the asset deflation gathers force.
Their first response will be an attempt to counter contraction with easy money. The Federal Reserve and other central banks, especially the Bank of Japan, could buy up the bad debts of insolvent institutions, like big banks and industrial corporations.
The Bundesbank could monetize the reunification bonds and move to shore up weak German companies, like Krupp.
In the United States, the Fed could buy Los Angeles's overdue notes, or pump money into New York's till to forestall budget cuts.
In short, the socialization of losses could be taken to greater extremes. The bad debts of all large borrowers could be added to the government's balance sheet. Central banks could essentially become national pawn shops - economy-wide holding companies of insolvent institutions. They could end up owning many banks, perhaps some insurance companies, and a great deal of real estate.
end of quote
To see the charts and read Richard's full explanations pull up his webpage.
http://home.flash.net/~rhmjr/index.html
If you have questions, you can email Richard at:
rhmjr@flash.net