The market has totally shifted. A few weeks ago, I would congratulate myself on making even the tiniest profits or, more often than not, not losing too horribly. These days, the problem is more along the lines of trying not to leave too big a mountain of profits on the tale by being scared or impatient.
The profits do quell any puzzlement or resentment I’ve got with respect to giving away so many fantastic ideas, because I’m having a ball. My declaration about the crypto market’s direction and its influence on equities was dead-nuts-on amazing. Every word, punctuation mark, and tiddle in what I predicted was spot-on. Here’s Bitcoin:
And below is Ethereum.
If President Stable Genius panders any more to the crypto creeps, their digital assets aren’t going to be worth dick anymore. Bitcoin has become the latest incarnation of Trump Steak. Yeah, he’s the man with the golden touch all right. Jesus, people. You have strange heroes. Just sayin’.
The NASDAQ Composite, along with most indexes has breached key support. I made plain that this week could be a full-on collapse. My own trading is anchored to a dozen bearish positions, although I’m sometimes taking on very aggressive short-term positions, which have been throwing off huge profits. Those scare the hell out of me, though, because short-term stuff just isn’t my nature.
The Dow 30 is at the cusp of a major trendline failure. Considering how President Big Brain is alienating the rest of the planet, and the trade wars are in full swing, I wouldn’t be surprised to see this fail today. One can only wonder when his maniacal supporters with clinical daddy issues will start to wonder how much they want their portfolios to suffer before they dare say anything to daddy-kins.
As I predicted (those three words are very common right now), the small caps have failed into a new Fibonacci level. We are in an entirely new trading range now. The tops are in. The bull market is dead.
It’s actually kind of a bummer for me to see the S&P futures down hard again this morning. Don’t get me wrong – – I’m not at 40% cash anymore – – more like 15% – – but I’d rather be at 0%. I mean, for the love of God, bear markets are rare, and I want to squeeze everything I can out of them.
Looking at the /ES (below) as opposed to the S&P 500 cash market (above), we can see a major trendline break, which is the first channel break we’ve had in well over a year.
Unlike the first administration of Your Favorite President, when we had to endure “Chinese trade talks are going well” for months, this isn’t a tease anymore. This is a full-on trade war, and it’s only getting started. As this brings the world economy to ruins, and political alliances are destroyed, The Fourth Turning and the worldwide bear market will at long last be in full swing.
It won’t be anywhere near its end until the masses decide it’s time to pay for Slope, at which time, for them, it’ll be way too late.
For those here now…………you’re already in the right place, you lucky so-and-so.
Go get ’em. You know good from bad.
