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The Housing Recovery Rests on an Unstable Foundation
Yale's Robert Shiller says the recent rebound in home prices is "artificial"

By Bob Stokes
3/28/2013 5:30:00 PM

The housing market has gone from financial rubble to what some analysts describe as another bubble. It's true that home prices are still nearly 30% below their mid-2000s peak. Yet the recent surge has Robert Shiller of the Case-Shiller Home Price Index concerned. Learn why.

Filed Under: 1929 Stock Market Crash, all the same market theory, CNBC, commercial real estate, economic indicators, Elliott Wave Theorist, foreclosures, great depression, history, home sales, housing prices, quantitative easing, U.S. Federal Reserve (the Fed)

Category: U.S. Economy


Suburban Poverty Up Nearly 64%
If this is an economic recovery, what will the next contraction look like?

By Bob Stokes
3/25/2013 4:45:00 PM

New research shows that poverty has spread faster in the suburbs than the inner city. Many Americans still haven't recovered from the real estate bust. Unemployment and under-employment remain historically high. Robert Prechter writes, "The Fed is doing everything it can to try to keep the credit balloon inflated. But it’s failing, because the markets and the economy are certainly not zooming, despite all the QEs and 0% interest rates." In the new Elliott Wave Theorist, you'll find 11 charts. Six of them, accompanied by Prechter's unique commentary, show why Americans should brace themselves for a major change in the economy.

Filed Under: CNBC, debt, deflation, economic indicators, Elliott wave, foreclosures, housing prices, Interest Rates, liquidity, personal finance, quantitative easing, Robert Prechter, stimulus package, U.S. STOCK MARKET, unemployment

Category: U.S. Economy


As Home Equity Lines of Credit Surge, The Low-Interest Rate Trap is Set
Borrowers feel confident about the future

By Bob Stokes
3/12/2013 6:00:00 PM

Americans borrowed roughly $1-trillion against their homes in the decade leading up to the housing bubble burst. That dollar figure remains well above recent home equity loan levels, however, CNBC reports that home equity loans are expected to increase in 2013 as homeowners take advantage of low rates. Will a second wave of price declines in real estate come, just as most homeowners think the market has recovered from the first wave?

Filed Under: CNBC, commercial real estate, deflation, Elliott Wave Theorist, financial forecast, foreclosures, home sales, housing prices, Interest Rates, market forecasts

Category: Interest Rates


Why the Door May Slam Shut on the Residential Real Estate "Rebound"
How the mortgage-crisis still haunts the economy

By Bob Stokes
12/10/2012 4:30:00 PM

A securities lawyer told the New York Times that "We are at an all-time high for mortgage litigation." The lawsuits involve some $1-trillion worth of mortgage-backed securities; banks stand to lose as much as $300-billion. But this "fresh torrent" of mortgage lawsuits against banks is just one headwind that the so-called housing recovery faces. Learn what else may trip up the so called housing "recovery."

Filed Under: economic indicators, Elliott wave, foreclosures, great depression, home sales, housing prices, insurance industry, Interest Rates, subprime lending

Category: U.S. Economy


Financial Weapons of Mass Destruction are Back and Bigger Than Ever
A return to pre-financial crisis days

By Bob Stokes
10/16/2012 5:45:00 PM

The alarming increase in derivatives and renewed real estate speculation are major economic red flags. Yet, EWI sees even more evidence that the second and more devastating leg of the downturn is nigh.

Filed Under: credit default swaps, derivatives, economic indicators, Elliott wave, foreclosures, housing prices, Troubled Asset Relief Program (TARP)

Category: U.S. Economy


History Has a Lesson for Real Estate Investors Who Think the Bubble is Fully Deflated
The service that forecast the real estate implosion warns of other bubbles

By Bob Stokes
7/16/2012 4:15:00 PM

Remember, real estate turned with lightning speed and accelerated downward. Yet the plunging prices were almost universally unexpected. Other financial asset classes are now sending equally ominous signs of major trend turns...

Filed Under: all the same market theory, commercial real estate, conquer the crash, consumer confidence, debt, deflation, economic depression, Elliott wave, financial forecast, foreclosures, great depression, history, home sales, housing prices, market forecasts, subprime lending

Category: U.S. Economy


The New Hot Trend in Real Estate: Should You Jump Aboard?
Bulk buying: When one house just isn't enough

By Bob Stokes
3/6/2012 5:45:00 PM

Anyone who bought near the housing mania peak was left holding the bag -- and in the bag was a mortgage that today exceeds the value of the property. Lesson learned? Apparently not...

Filed Under: foreclosures, home sales, housing prices

Category: Real Estate


If the Economy's "Recovering," Why is the Largest-Ever U.S. City Facing Bankruptcy?
What's really going on?

By Bob Stokes
3/5/2012 5:00:00 PM

As pundits chatter about an economic recovery, municipalities are facing bankruptcy - including the largest-ever U.S. city. What's really going on?...

Filed Under: credit rating, debt downgrade, economic depression, foreclosures, home sales, junk bonds, municipal bonds

Category: U.S. Economy


Is This the Right Time to "Invest" in a House?
A look at why people think of a consumption item as an investment.

By Bob Stokes
2/17/2012 5:45:00 PM

As any homeowner knows, one unexpected repair can run into the thousands of dollars. Then there's the maintenance (and other costs) you do expect, which add up to a pretty penny by the end of a given year. On the other hand, homeowners do get tax breaks. But even considering that, is a house or condominium a good investment?...

Filed Under: foreclosures, home sales, housing prices, Robert Prechter

Category: Real Estate


Expensive "Free Lunch" in Real Estate: Two More Shoes to Drop
Is a bottom in home prices anywhere in sight?

By Bob Stokes
1/31/2012 5:45:00 PM

Will the wide swaths of vacant homes now visible in Detroit, Cleveland, Las Vegas and Florida become common elsewhere?...

Filed Under: consumer confidence, deflation, foreclosures, home sales, housing prices

Category: Real Estate


The Real Estate Crash: How to Survive and Prosper
Commercial real estate and the skyscraper boom/bust: Deflation has a long way to go.

By Bob Stokes
1/10/2012 5:15:00 PM

It's time to learn specific steps on how to financially protect yourself before the economy sinks even deeper into a deflationary depression. Indeed, you can even position yourself to prosper in the months ahead. How?...

Filed Under: Club EWI, commercial real estate, conquer the crash, deflation, foreclosures, mania

Category: Real Estate


Evaporation of Wealth on a Vast Scale
How $1-million can disappear

By Bob Stokes
9/15/2011 11:00:00 AM

Bursting of the "debt bubble": It's the financial story of our age and it's happening before our eyes. The full scope is hard to keep up with because it's unfolding at various levels, such as...

Filed Under: Club EWI, conquer the crash, consumer credit, debt crisis, European debt crisis, foreclosures, liquidity, Robert Prechter, soverign debt crisis

Category: U.S. Economy


Real Estate Market: Take a Loss or Wait It Out?
Home Sellers In Denial

By Bob Stokes
7/21/2011 5:30:00 PM

An overpriced listing will deter buyers even in a good housing market. Yet today's market includes an added risk...

Filed Under: commercial real estate, deflation, foreclosures, housing prices, Robert Prechter

Category: Real Estate


Is the U.S. Banking Sector Finally Back On Solid Ground?
EWI's Financial Forecast Service gives you a more complete picture of how financials are faring

By Nico Isaac
7/14/2011 6:45:00 PM

Before you join the financial media in their collective sigh of relief, let me point out that in the May 2011 Elliott Wave Financial Forecast, EWI analysts presented the following chart of the DJIA versus two key financial indexes...

Filed Under: Dow Jones Industrial Average (DJIA), foreclosures, market forecasts, subprime lending

Category: Stocks


Money in the Bank: Does It Still Mean "Safe and Sound?"
Elliott Wave International's free report "Discover the Top 100 Safest U.S. Banks" explains the true risk that you may face when a bank fails.

By Hope Welborn
6/8/2011 3:15:00 PM

Some economists claim we're in a recovery, yet hundreds of smaller financial institutions still suffer from the debt crisis that began a few years back.

Filed Under: Robert Prechter, central banks, Club EWI, conquer the crash, Federal Deposit Insurance Corporation (FDIC), foreclosures, housing prices, liquidity, personal finance, recession, unemployment

Category: Classic Prechter


Housing Market: Worst Since "The Great Depression"?
Has the Downtrend in Housing Hit a Bottom?

By Bob Stokes
6/6/2011 5:15:00 PM

Home prices were on a "one-way street" -- namely up. But as we know, the trend in real estate prices did an abrupt U-turn. Now it's traveling swiftly in the opposite lane. How long will this downward trend continue?...

Filed Under: 1929 Stock Market Crash, conquer the crash, economic depression, foreclosures, housing prices, subprime lending

Category: Real Estate


Double-Dip Housing Recession and the Unending Foreclosure Story: What Does It Mean for U.S. Economy?

By Susan C. Walker
5/27/2011 2:00:00 PM

With a double-dip housing recession and foreclosures accounting for 28% of all U.S. home sales in April, the housing debacle is the gift that keeps on taking away. Elliott Wave International began warning about the consequences of too much credit in the U.S. economy and the housing markets in the early 2000s. What does it say now?

Filed Under: conquer the crash, foreclosures, housing prices, Robert Prechter

Category: Real Estate


Has Inflation Taken Hold? Let's Take a Closer Look
Inflation vs. Deflation

By Bob Stokes
5/3/2011 5:30:00 PM

Gas and food costs appear to be such a persuasive argument for inflation that it's easy to overlook other economic data -- such as...

Filed Under: consumer price index, consumer spending, deflation, foreclosures, inflation

Category: U.S. Economy


Commercial Real Estate: "Ghost Malls" in the Making?
One in Ten Mall Stores Are Vacant

By Bob Stokes
4/29/2011 3:30:00 PM

Commercial real estate's downward trend goes beyond suburban malls. Much office space in business districts is empty. Read this excerpt...

Filed Under: commercial real estate, conquer the crash, credit crisis, deflation, foreclosures, housing prices, Robert Prechter, subprime lending

Category: Real Estate


Home Prices: A Time for "Bargain Hunting?"
See the Housing Charts and Read the Commentary in the Latest Financial Forecast

By Bob Stokes
4/4/2011 5:15:00 PM

Does the latest housing data suggest a bottom now -- a time to go searching for your dream home?...

Filed Under: foreclosures, housing prices, Robert Prechter

Category: Real Estate


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The Elliott Wave Principle is a detailed description of how financial markets behave. The description reveals that mass psychology swings from pessimism to optimism and back in a natural sequence, creating specific Elliott wave patterns in price movements. Each pattern has implications regarding the position of the market within its overall progression, past, present and future. The purpose of Elliott Wave International’s market-oriented publications is to outline the progress of markets in terms of the Wave Principle and to educate interested parties in the successful application of the Wave Principle. While a course of conduct regarding investments can be formulated from such application of the Wave Principle, at no time will Elliott Wave International make specific recommendations for any specific person, and at no time may a reader, caller or viewer be justified in inferring that any such advice is intended. Investing carries risk of losses, and trading futures or options is especially risky because these instruments are highly leveraged, and traders can lose more than their initial margin funds. Information provided by Elliott Wave International is expressed in good faith, but it is not guaranteed. The market service that never makes mistakes does not exist. Long-term success trading or investing in the markets demands recognition of the fact that error and uncertainty are part of any effort to assess future probabilities. Please ask your broker or your advisor to explain all risks to you before making any trading and investing decisions.