Prechter...Dollar Bottom....Deflation will reign for the next few years

I too think that we are witnessing the BEGINNING of an extended credit deflation...which ultimately leads to price deflation. Yes Yes I know...the Fed is "printing money like crazy" but they are actually holding the whole banking system hostage and thus not allowing the reserves to be pyramided. The Fed knows that the system is bankrupt and they know that asset prices have to fall further. Thus.....I believe what Prechter is calling for in the linked videos above. And that is major deflation for the next few years!
The inflation argument is valid technically in that....Yes the Fed is pushing reserves into the banking system but these reserves are not being multiplied, so....after 2 years of this "inflating" here we are with foreclosures and bankruptcies on the rise still after 24 months of "inflation of the money stock"
I love Peter Schiff and Gary Norht and Ron Paul. and Jim Rogers.......but....this downward spiral is going to continue as sure as night follows day. I personally know to many people that are good credit risks and yet their credit limits on credit cards are being halved or totally closed down! Where is all this "easy" credit?? Businesses are not borrowing and if they even can...they are waiting for better times. We are in a credit deflation and there is very little the fed can do ....unless it bypasses the banking system. Which if they do that wholesale...than China and the rest of Asia dumps our dollar....The Fed is between a rock and a pointy knife!