You may find it surprising, but there are only THREE full trading weeks (that is to say, five uninterrupted weekdays) left for all of 2025. As we wrap up this most recent week, it has been one of the most interesting and exciting in many months. The erosion of assets is most succinctly represented by the absolute wipeout in Bitcoin, which has recently fallen almost 40% (!!!!).
In spite of the encouragement from this brain-trust to “buy the dip” (all the way down).
Of course, –40% isn’t as bad as –66%, which is what Michael Saylor’s Strategy (MSTR) has enjoyed from its peak eleven months ago. Recent price action has constituted much of that drop:
After yesterday’s magnificent reversal, the /NQ pretty much marked time all night long. All the equity futures are up about half a percent or so. Yawn.
The more important fact is that, for weeks now, equities have been crumbling lower as the entire AI Bubble slowly deflates. The /NQ, shown here, is clearly banging out a steady series of lower lows and lower highs, the very definition of a downtrend.
And, longer-term still, has completed what I believe will be a topping pattern for the ages.
This is neatly illustrated with the QQQ daily chart, which closed below the low of the “China 145% tariffs” freak-out from a few weeks ago.
Incidentally, for my Gold and Platinum members, I wanted to mention I spent hours last night tidying up my Bear Pen and other watch lists. Anyone can read about the sharing features built into SlopeCharts here.
As I enter into the trading down, far more calmly than 24 hours ago, I have 38 short positions and a commitment level of 158%. I suspect my day will largely be spent tidying up and tweaking stop positions as opposed to going berserk trading like yesterday. Good luck out there in the wild!
