Why Algorithms Are Rotating to Shorts at 6550

By Prof. Jeffrey Bierman, CMT

The Fed's quarterly interest payments just went vertical.

Not rising steadily. Vertical. Logarithmic. The kind of exponential curve that appears right before systems break.

Since 2008, their debt service has compounded at rates that would bankrupt any private company.

But the Fed isn't a private company. They can print money to service debt…until suddenly they can't.

That curve tells you everything about what's coming.

When the Fed's interest payments go exponential, they have exactly two choices:

Default on the debt
Print more money to service it

They always choose printing, which means injecting more liquidity into a market already sitting at record highs.

That's what Ray Dalio calls "stimulating into a bubble." When central bank intervention stops preventing collapse and starts causing it.

Most traders see the S&P making new highs and think everything's fine.

They don't see the exponential debt curve underneath driving the whole system toward a breaking point.

Today I'm showing you exactly:

How that Fed interest payment curve connects to the consumer debt crisis already showing up in the data
Why this creates a vicious cycle that can't be stopped once it starts
And how algorithms are already repositioning for the systematic selling that comes when this cycle breaks.

Here's the thing, you can beat the Fed and Wall Street simultaneously.

The Genesis COG Scanner tracks these exact algorithmic behavior shifts.

When machines detect debt sustainability ratios crossing critical thresholds, they don't wait for confirmation…They reposition instantly.

The scanner reveals those footprints before weekly indicators confirm the reversal.

Click Here to see How

Now, let's get into why the Fed interest payment curve guarantees what happens next.

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Why Algorithms Are Rotating to Shorts at 6550

Why Algorithms Are Rotating to Shorts at 6550

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