The Chinese Market Detonation Youre IgnoringBy Mac Slavo Its been the hottest market in the world, so flush with cash that they have actually built entire ghost-cities lacking populations and mega shopping centers without tenants a clear sign of bubble waiting to be pricked. But the inevitable seems to now be taking hold as once unstoppable Chinese stock markets are now reversing the unprecedented gains seen over the last several years. Forget Greece. Weve seen that story before. This could be the first domino: Last night the Shanghai index was down 8%, and while there have been some wildrecovery ralliesduring the last couple of weeks as well the cumulative loss is close to 20% at this point, the formal declaration of a bear market. That market had been in a parabolic blow-off since roughly December, a classic (to a chartist) three-stage parabolic move with two retracements. The most-recent move down, however, threatens to violate the uptrend support originated back in November and has already erased the gains since May. Yes, a 2-monthround-tripof about 20%. Liquidity is usually given as the reason for the reasonableness of stock valuations these days. I have only one question:What happens when said liquidity is really nothing more than a loan (which it always is)and the borrowed funds are lost instead or producing gains? Source: Karl Denninger / The Market Ticker What happens is exactly whats happening in Greece and China, and what will undoubtedly soon come to pass in the United States. The actions of the worlds wealthy should be followed closely and, as weve note previously, they are being told to make sure they have physical assets like cash, gold and silver on hand in anticipation of a serious destabilizing event. The reset is coming, and as was recently noted by Brandon Smith of Alt Market, the next stage of the elites plan for total global economic centralization is about to be in full effect. With Chinas stock markets now imploding on a scale that can only be described as a crash, it is only a matter of time before the chain reaction of derivative-based defaultsleads to similar detonations across the entire world. What comes next is anyones guess, butit wont be pretty. One possible outcome, as suggested by analyst Greg Mannarino, is pretty much the worst imaginable scenario and one we have urged our readers to prepare for: So, when the debt bubble bursts were going to get a correction in population. Its a mathematical certainty. Millions upon millions of people are going to die on a world-wide scale when the debt bubble bursts. And Im saying when not if [] When resources become more and more scarce were going to see countries at war with each other. People will be scrambling in a worst case scenario doing everything that they can to survive to provide for their family and for themselves. Its a scary proposition and one from which escape for the general population of the world seems impossible. As Mannarino notes, theres no way out. It will be, for all intents and purposes, every man for himself. The elite know this and that is likely why they are buying aircraft landing strips, rural hideaways and divesting themselves of paper assets. If we are, in fact, on the cusp of this next great paradigm shift, it will be littered with panic, widespread civil unrest and shortages of essential good necessary for survival.It is a scenario for which the government has prepared for over a decade, but as former DHS head Janet Napolitano has warned, such an emergency will leave the government overwhelmed and unable to assist those in need. That means youre on your own and your only saving grace will be that you takesteps to prepare for disaster ahead of time. As collapse survivor Selco has warned, once this goes down there will be little room for error: Either youll learn fast or youll end up dead. At the very least we strongly recommend stockpiling the basics, including food, potable water, self defense tools, and physical barter goods. Of course, we could be overreacting. The Chinesestock market crash is happening so far across the ocean that we probably dont need to be paying attention. And as for Greece, Americans will never have to line up in front of empty ATMs hoping to get enough money out to put dinner on the table. The government would never let that happen, right? You can read more from Mac Slavo at his site SHTFplan.com, where this article first appeared. Keep your eye well peeled for us, Mac. And thanks. At the very least we strong (sic) recommend stockpiling basics, including food, potable water, self-defense tools, and physical barter goods. Ah, theres a major problem here; something like ignoring a major verdict of history. During the During the Russian mass slaughter, they did the same thing, only with a wider net: hooligans, In other words, during those slaughters preppers were among the first to be targeted. You think its not likely here? Then, why is the Department of Homeland Security modeled after French committees of terror, the Judeo-Bolshevik Cheka and the Nazi Schutzstaffel? (http://redressone.wordpress.com/amss/) What does the DHS plan to do with 2-3 billion rounds of ammo an amount sufficient to wage an Iraqi And, why is the DHS recruiting, training and protecting informers? By the act of Congress that established the DHS a system was created by which informers could Im sorry guys, but silly season is over. Even if you own physical gold, live in a cabin in the woods along with a stash of ammo and AK-47s, you lose. If you dont fall to the horde of hungry homeless, you will fall to DHS death squads. All the homeless have to do is to wait until you collapse from lack of sleep (24, 48, 72 hours), then they march in, slit your throat and let your imagination run wild. If you own stocks or bonds, guess what: youre depending on criminal and useless classes to deliver If you want to survive along with your property, you have to combine with others of like mind for the purpose of mutual protection, among other purposes. The big question now is, HOW is this to be The American Revolution, for example, was powered by a large network of such assemblies: from town meetings, county meetings, state conventions and, ultimately, to Continental Congresses. Lets be realistic: this solution wont be easy or quick unprecedented adventures never are. But its a much better alternative than waiting for them to smash in your door. 