Apophenia as an apologist for clairvoyance in the capital markets. - page 4
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And here we can see the blatant illiteracy and evidently the author does not know what P/E ratio is and that the market can assess the prospects of a company very differently...
If the author had bothered to go to any stock screener and look at what P/E ratio different companies are trading with, probably some questions would have been closed for him, not to look like an urban madman...
In particular it is not surprising that the technology sector trades with high P/E and this situation is absolutely normal and has nothing to do with the USA and Russian technological issuers may have high P/E as well...
I am not even going to comment on the inflation and fractals...
I am not writing to argue with the author - for he is obviously at primitive apophenic level of understanding of economy and markets - but only to restore the balance and fairness on the forum in favor of the normal economic science and to distract possible adherents of this obscurantism.
The rise in the Dow Jones index, which began in 1978, is within the framework of the formation of F13, which is the 3rd segment of F1 fractal. The F13 fractal is not yet complete.
It may be supposed that by the end of 2021, a 5th-order fractal F13331 was formed in the fractal structure of the Dow Jones index chart on the time interval (2014, 2021).
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If so, the fractal formed in the interval (2014, 2021) is the 1st segment of fractal F1333. Then the subsequent dynamics of the index will be downward within the framework of formation of the 2nd segment of fractal F1333, which will be followed by growth of the index within the framework of formation of the 3rd segment of fractal F1333.
Thus, future index dynamics on the time interval (2014, 2035) will take place within the framework of the formation of fractal F1333.
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A 3rd order fractal F133 will then be formed on the time interval (2011, 2035).
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And on the time interval (1978, 2035) a 2nd order fractal F13 will then form.
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The global fractal structure of the Dow Jones chart indicates that a global fractal will be formed on the time interval (1896, 2035) with the 1st segment formed on the time interval (1896, 1973), the 2nd segment formed on the time interval (1973, 1978) and the 3rd segment will be formed on the time interval (1978, 2035).
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If this is the case, then we will see the Dow Jones Index trending downwards for the next 3-5 years and then upwards to form a global 1st order F1 fractal by 2035.
The index dynamics that follow after 2035 will be in a global downtrend as part of the formation of a 1st order F2 fractal.
The collapse of the U.S. stock market after 2035 could be so severe that the index will fall to around 2,700 points.
A modelling method based on the analysis of the fractal structure is a kind of computing technology for future values on the financial market.
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The value creation mechanism must be the same for currencies, for stocks, for raw materials, and in general for everything that is traded on the markets, because it is driven by people.
And if people are the same today as they were 10 years ago, 100 years ago, 1000 years ago, then the mechanism of value formation is the same today as it was 1000 years ago.
Therefore, all graphs that show the dynamics of value regardless of time interval - be it for 1 hour or 100 years, and regardless of timeframe - be it one minute or one year - must be similar, i.e. fractal.
And if it is so, then the only thing that unites all the charts is the basic fractal that can be observed at every chart.
This fractal is a simple oscillatory movement consisting of 3 segments, one of which has the opposite direction to the other two.
Under external influences, the value and time parameters of the segments are deformed, forming three types in each of which there are five types.
Combinations of these 15 fractals can describe absolutely any graph of value dynamics, and any graph of value dynamics will tend towards one of the 15 fractal-attractors.
In the case of the dynamics of the values of the Dow Jones index, we can say that in the time interval (1896, 2035) the global fractal structure of the chart tends to the fractal attractor №11 (of the 1st kind and the 1st type).
F1 ≡ F11 → FS {13, 23, 11}
The value creation mechanism must be the same for currencies, for stocks, for raw materials, and generally for everything that is traded on markets, because it is driven by people.
Typical generalisation error. Unwarranted transfer of particular properties/characteristics to large populations. There are many types of this cognitive distortion, the classic version being conspiracy theory.
Many researchers have described this type of cognitive distortion, including John Grinder and Richard Bandler in the first volume Structures of Magic, the movement from deep structures to surface structures necessarily involves processes of omission, generalisation and distortion of information. The most profound paradox of the human device, we believe, is that the same mechanisms allow us to survive, to grow, to change, to experience joy - and yet to adhere to a very squalid model of the world.
It is obvious to professionals that there are differences in the pricing of stocks, commodities, debt instruments, money-market, cryptocurrencies, etc - as the drivers of these markets are different. Otherwise federal bonds would be flying like crypto. 😃
The author undoubtedly has complete apophenia and lack of critical thinking.