Sunday, January 11, 2026

The 1982 to Feb/Mar 2026 :: 13/33 year :: x/2.5x Composite Equity Blow-off Peak Valuation And Thereafter, Crash Collapse Devaluation

Updated 12 Jan 2026 … The SPX, proxy for the global composite equity valuation, is observed to be completing a 3-phase 2009 12/29/30 Quarterly :: x/2.5/2.5x maximum Fractal Growth Series and a 1982 to 2026 52/126 of 128-130 :: x/2.5x Quarterly Blow-off Valuation and Crash series.
The 1982 to 1994 52 Quarter series is composed of a 11/26/17 Quarter :: x/2-2.5x/1.5-1.6x 3-phase fractal growth series and the 1994 to 2026 valuation growth is composed of two 3-phase fractal series: a 1994 10/25/25 Quarter :: x/2.5x/2.5x series ending in 2009 and a 12/29/30 Quarterly series peak growth ending in Feb- Mar 2009. The 80-90% Crash from the 52/126th Quarter x/near 2.5x peak valuation will be precipitous – over 2 to 4 Quarters. Is there a deterministic self ordering of composite equity valuation growth and decay in the Asset-Debt Macroeconomic System? It appears so. Equity, commodity, crypto Valuations grow by debt expansion, primarily, by governmental debt, which unlike corporate and citizen debt, is facilitated by direct money/debt printing. Accelerated governmental debt to GDP % expansion in the last 20 years has been unprecedented relative to other in peace time conditions. Valuations of equities, commodities, and crypto have directed benefited from governmental debt expansion. The 3-phase and 4-phase self-ordering self assembly fractal laws of growth and decay of asset valuations have been described before. A maxim can be added to these two laws: equity valuation growth in a political system strongly favoring equity investment by individual and corporate tax advantage and by malinvestment corporate buy back legislation, will grow to the near maximum fractal time frame. The system is near that maximum time frame of valuation and peak growth. After a 23 Oct 2023 55/139/135=6 :: x/2.5x/near 2.5x peak growth, a 5/12/12/7 day decay ending 7 April 20205 is observed. Equity, commodity, and crypto valuations grow by debt expansion, primarily by governmental debt, which unlike corporate and citizen debt, is facilitated by direct money/debt printing. Accelerated governmental % deficit to GDP spending in the last 20 years has been unprecedented averaging 2-3 times higher than other peace time era periods. Maximum 2009 to 2026 12/29/30 quarterly :: x/2.5x/2.5x growth of equities, commodities, and crypto have been a direct of governmental debt expansion with equity valuations 122% of GDP. The 3-phase and 4-phase self-ordering self assembly fractal laws of growth and decay of asset valuations have been well described. A maxim can be added to these two laws: equity valuation growth under the umbrella of high % deficit spending to GDP, a political and taxing system strongly favoring equity investment with individual and corporate tax advantage and with policies favoring malinvestment corporate buy-backs, will grow to the near maximum fractal time frame. The remarkable 2025 and ongoing early 2026 blow-off valuation of gold and silver denominated in US dollars is likely a reflection of the current administration’s policies which are directly anti-institutional long-term US economic, geopolitical, domestic and international legal policies. The system is near that maximum time frame of equity and precious metals peak valuation growth. After a 23 Oct 2023 55/139/135 :: x/2.5x/near 2.5x peak growth, a 4-phase 5/13/12/7 day :: x/2-2.5x/2-2.5x/1.5x decay fractal series ending 7 April 2025 is observed.
The ongoing 7 April 2025 3-phase fractal growth series to 5 Jan 2026 is shown below:
The self ordering of the 53 day first fractal according to Lammert self-assembly Fractal Laws of is shown below:
The self ordering of the 107-108 day second fractal according to Lammert self-assembly Fractal Laws is shown below.
The projected 20 November 3rd Fractal Peak Valuation Growth is shown below:

No comments: