By the time of Supercycle wave (a) low, America and the world will demand defense cuts as they never have before.

Timing should be from late in the current decade to 2022-2023 where it should reach its intensity.

The previous time in history this occurred was in the early 1930’s. Take a look at newspaper headlines that occurred during those years:

“All Forces are Included; Armies, Navies, Planes Would Be Reduced to Defense Needs … . Tanks, Chemical Warfare, All Large Guns and Bombers Would Be Abolished. OUR SAVING $2,000,000,000

—The New York Times, June 22, 1932.”

Advise for defense related investments

Sell your defense stocks (producers of tanks, aircrafts and large bombs) and other related investments as soon as possible. The best time for that type of investments should be around 2022-2023 at the earliest.

However, civil unrest and civil wars will escalate until early 2020’s and this should be beneficial for producers of more “light” arms suitable for these type of conflicts and more consistent with wave (a) psychology.

Elliott Wave Technician, Geir Solem, Editor