Well, I’m glad that’s over. We got the last ridiculous three-day weekend out of the way, leaving for 2022 just two more holidays, each of them actually worthy of a day off: Thanksgiving and December. Better yet, we’ve got this huge strength of time – – virtually the whole of September, October, and November – – uninterrupted by another let’s-sit-around-and-do-nothing days off. So we can focus on what’s important in life, again, and that’s financial charts and trading them.
I had hoped that over the long weekend, Bitcoin would provide some clues, but this thing has gone totally catatonic. Eleven days of clinging to $20,000 and not budging. It’s truly a site. There are passbook savings accounts at your local bank with more volatility.
The equity futures are, as I’m typing this, a bit green, and they had been so all weekend. Of course, it’s only a modest recovery from the delicious plunge we enjoyed on Friday, and my spidey sense is that the bulls have lost their mojo.
Over the past week, the bulls keep launching attempts – – some of them quite powerful – – to reverse the natural course of the markets, but they have failed every single time. We are at a crucially-important level right now, because just one more weak day would do the trick, in the respect that the uptrend of the /ES would finally break.
For me, the highlight over the weekend was what happened with crude oil, which (as my premium subscribers in particular know) I am super-bearish. You see, the nice people from Saudi Arabia announced that, in a world of exploding energy prices, what they were going to do is DECREASE production, which of course send oil prices even higher (green arrow). What’s cool is that energy is so doomed (in my estimation) that even the cynical cutting off of supplies by the lovely humanitarians known as the Saudis was insufficient to stop the selling from resuming.
Finally, in our They Never Learn department, we have meme stock Bed Bath & Beyond, whose CFO, of course, jumped from a skyscraper to his death. Over just three weeks, this should-be-$0 stock has lost 75% of its value, and I can pretty much guarantee the CFO killed himself because he wanted some different terms on their recent corporate debt issuances. There’s way more to the story than that. Suffice it to say that the 19 year olds had a long weekend waiting to see what BBBY was going to do, and………
