<\/p>\n
With an initiating fractal series of 18 years, The the \u00a0US Hegemonic Great Fractal series started in\u00a0I 1807 and is composed of three decades-long \u00a0sub fractals: 36\/90-91\/88 years :: x\/2.5x\/2.5x. The \u00a0maximal debt dependent peak equity \u00a0growth saturation valuation of the third 88 year year\u00a0sub fractal \u00a0occurred on 26 July 2019.<\/i><\/p>\n
Coming is a breathtaking US hegemonic 88-89 year 3rd \u00a0fractal collapse. The 2019 third fractal collapse with its \u00a0more acute and shorter dv\/dt negative\u00a0valuation\u00a0nonlinearity will pale the slower descent of the 32 month peak-to-nadir 1929-1932 \u00a0:: 88-91 year US hegemonic 2nd fractal collapse.<\/p>\n
Retrospectively, global \u00a0Central Bank and Sovereign \u00a0interventions have made measurable and observable differences in the natural fractal progression of composite equity valuation decay, bending negative devaluations to the positive side within the subunit series final fractal decline – \u00a0but still self organized \u00a0in \u00a0the deterministic self organized fractal valuation quantum subunit units that characterize the Asset Debt Macroeconomic System.<\/p>\n
For the SPX, representing the plurality global equity proxy, this subunit bending occurred in 2002-3 and again in 2008-2009 where the last two subunits of a y\/2-2.5y\/2-2.5y\/1.5y \u00a0naturally occurring 4 phase fractal decay progression, instead of occurring at a negative dv\/dt rate, \u00a0(v = valuation, t =time) occurred at a positive dv\/dt trend or y\/2-2.5y\/2.5x\/1.5 x while the (monthly) fractal \u00a0quantum subunits remained intact.<\/p>\n
The base fractal sequence from the SPX 2002 low was 3\/6\/6\/4 or 16 months. Central banks lowered interest rates and facilitated debt growth through lower interest rates, \u00a0derivative manipulations, overinflated credit scores, \u00a0and manipulated engineered financial instruments to allow initiation of positive SPX valuation growth in late 2002. Politicians urged the base population of the macroeconomic pyramid to shop and spend(acquire more debt).<\/p>\n
The resultant growth fractal in 2002 for the SPX was 16\/33\/39 months. \u00a0The last 39 month fractal was 9\/20\/12 which \u00a0mirrors the final 1982 \u00a09\/20\/12 \u00a0projected yearly fractal low although central banks will attempt to intervene again, \u00a0likely bending \u00a0the \u00a0monthly nadir low in 2020 from its ideal low . \u00a0On the other hand, with European banks currently at negative interest rates and the potential fragmentation of the European Union, the ideal nadir point may be reached.<\/p>\n
The final 12 year fractal starting on Sept 2 \u00a02009 ( vice in March 2009) is composed of an expected \u00a026(21 ideal)\/53\/53 month :: y\/2.5y\/2.5y decay fractal with a peak at x\/2.5x\/2x :: \u00a021\/53\/42 months in July 2019. The 21 month base fractal ideal (vice 26 month actual) is based on a 53 month second fractal. \u00a0Note that the 26 month base fractal starting in September 2009 is composed of a 2\/5\/4\/3 month 4 phase \u00a0growth and decay fractal series followed by a \u00a03\/7\/8 month 3 phase decay fractal series<\/p>\n
The third sub fractal 42 month peak valuation occurred on 26 July 2019 and was composed of a \u00a09\/19\/16 month fractal series with a final lower secondary high on 19 September 2019 at 9\/19\/18 months.<\/p>\n
There is an elegance in the simplicity of this macroeconomic asset debt system akin to the elegant simple math of non black hole macro and quantum-mechanic physics. The earthly asset debt macroeconomic saturation fractal mathematical \u00a0termination of a x\/2.5x\/2x :: 21 ideal\/53\/42 month fractal growth sequence contained in the y\/2.5y\/2.5y :: 21\/53\/53 month decay sequence is … \u00a0simply … the most efficiently elegant mathematical pathway to capture terminal growth in a slightly longer decay sequence.<\/p>\n
Again, if central banks and politicians are creative \u00a0and effective enough \u00a0in doing their jobs, the 2020 low valuation for global composite equity\u2019s will be short of a 26(21 month ideal)\/53\/53 month fractal progression. With global central bank stimulus , the low, like 2003 and 2009, could be in March 2020 at the second sub fractal \u00a0termination, rather than in June 2020 at the end of the third sub fractal for a 26\/53\/53 month :: y\/2-2.5y\/2-2.5y<\/p>\n