Good morning my friends.
Let's look at the US equity market. And as we said buy (for a trade) at 24,500 in early October after the nasty 2500 point selloff produced great SENTIMENT (better than last January's decline) the reverse is finally here.
I had stated this would be a very healthy countertrend rally and would draw in the "all is clear..be happy" crowd probably after 1000 points. That is what it looks like. While SENTIMENT is decent we were at 25,890 this A.M. I see a big jump RIGHT NOW in call buyers. Watch the 26,000 level. Things are getting very interesting. If you did not sell well above 26,000 previously I'd be seriously saying...."thanks for a second chance."
While Republicans are boasting about a great night at the polls, they are not recognizing the havoc that will be brought to the Trump administration by the House controlled Dems. who want nothing other than to obstruct Trump.
BITCOIN meanders above 6500. Well that is better than meandering the other way, but with SENTIMENT bearish I can't see BTC punching above 6600 and staying there. But, there is some underlying strength in my opinion. I'm impressed that we've stayed above 6200 for a long while with bearish sentiment. I would think a more negative mindset would take hold and remember, that would be bullish.
As always, I welcome your opinions. Remember, do your own 'due diligence'...Thank you.
I honestly have no idea which way bitcoin is going to go here first...at least I am honest lol
And that makes two of us...best guess...more sideways...thanks..
Lots of chaos. Once again, government needs to cooperate to keep us solvent.
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absolutely...and it seems the House led Dems will be hellbent on obstruction...will be interesting for sure..(thnks)
Demo rats will obstruct. Loaded with gold and crypto to weather this. And some Porsche stock.
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I noticed last night the bond market was rallying because a lot of people think divided government will result in lower deficits. IMO this is a mistaken viewpoint. With Democrats in the House, I expect to see a giant, budget-busting, bi-partisan infrastructure bill soon . Still, the bond market disagrees, and this might explain why stocks are rallying. After all, if interest rates are going to fall, who cares about slow earnings growth? Anyway, congrats to whoever decided to go long stocks. But stay safe, and don't forget your stops.
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100 per cent in agreement...and the big commercials went long the 10 year Tres. a bout two weeks back!