Michael Burry: The Stock Market Will Crash and I Have Proof! The Ark Invest Bubble Will POP!

Let’s discuss how the stock market is going to crash according to Michael Burry and the 5 major data points that we will discuss in this video. Michael burry is very well known for shorting Cathie Wood of Ark Invest. Then we will perform some stock market analysis with Warren Buffett’s favorite indicators that say the market is due for a correction and lastly we will go over why Michael Burry is anticipating the mother of all stock market crashes soon. the dip is fast approaching. However, the problem with this is that we can’t use averages to predict the stock market otherwise we would just time the market every 1.87 years. With that being said this average does allow us to see the clues of when we could escape another crash even though we will not know the Alex act timing of it. On the bright side crashes and corrections do not seem to last very long because the average correction only lasts about 6 months or 188 days but recently that number has dropped to 155 days based on the newest data available to us. In our next data point, we will look at how the stock market reacts after a crash which can sometimes cause another crash shortly after. For example in the previous 8 bear markets dating back to the 1960s. 5 out of the total 8 bear markets bounced back with strong rallies and two out of those 5 rallies experienced another double-digit decline shortly after because the stock market rallied back too quickly and this is what could be happening in today’s market environment where we already have double led the market since it hit its bottom. However, the good news is that long-term investor who hold through stock market crashes, even if Ark Invest ETF crashes and corrections will make money in the market regardless of when they invest if they hold their positions for 20 years or more. The fourth data point that we will discuss is the rapidly rising rates of inflation. Earlier this month the US Bureau of Labor Statistics released inflation rates data so when we look into this report specifically at the Consumer price index for consumer goods and services it says that inflation has risen over 5% in the last 12 months which is pretty high. The reason why inflation could be an indicator for an upcoming stock market crash is that during the dot com bubble inflation was on the high end of 4% and then the crash happened. For our last and potentially most telling data point we have investors borrowing way too much money on margin. Rising margin debts are directly tethered to stock market crashes for example margin debt skyrocketed by 6 fold in 1987 when there was a notable stock market crash and we saw this in many other historical markets crashes as well. But according to Warren Buffett’s favorite indicator which is the opposite of what Cathie Wood of Ark Invest believes. Now I like Warren Buffett but this indicator is nowhere near perfect. Next up we have CVS health corporation ticker Symbol CVS. This company is a rode island-based health service provider and scion asset management owns over 523,000 worth $43.8 million. The stock price is $85 per share but the average analyst price target is $101. In Michael burry’s number 5 spot we have Walmart ticker Symbol WMT and 71 hedge funds own this stock. Michael Burry owns call options on 378,600 shares that are worth $53.3 million. Walmart’s current price is $147 per share but analysts think it should be worth $175 next year. Next, we have the Kraft Heinz company ticker KHC which is a food and beverage maker. Scion asset management owns call options on over 1.4 million shares worth over $58 million. #stockmarketcrash #stockmarket #stocks FREE MONEY: Please, DONATE TO ME :) https://www.paypal.com/donate?hosted_... 1 Free Robinhood stock: https://join.robinhood.com/mitchew1079 Get 2 Free stocks with Webull when you invest $100 on your first deposit https://act.webull.com/k/qfLmgYwwQ2G1... Free $20 worth of Bitcoin on Celsius with a $200 investment: https://celsiusnetwork.app.link/19300... Disclosure: This video was done by myself, and it expresses my own opinions. This is not investment advice and it should not be taken as investment advice in any way shape or form. I am not receiving any form of compensation for this video from the company or organization that I am expressing opinions about. This video is for entertainment purposes only. SOURCES: https://www.fool.com/investing/2021/0... https://markets.businessinsider.com/n... https://finance.yahoo.com/news/10-bes... https://www.insidermonkey.com/blog/5-...