Slope of Hope Blog Posts

Slope initially began as a blog, so this is where most of the website’s content resides. Here we have tens of thousands of posts dating back over a decade. These are listed in reverse chronological order. Click on any category icon below to see posts tagged with that particular subject, or click on a word in the category cloud on the right side of the screen for more specific choices.

Second Level Reached

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I can’t remember a time in my life when there seemed to be such universal agreement that:

  1. The market is really, really oversold;
  2. It is going to rally mightily, and much farther than anyone dare imagines.

Even the most wild-eyed bears have fixated on 4,400 on the S&P 500 as their target, which is well more than 10% above current price levels. As I mentioned in my posts last night, even former permabear (and I do mean permabear, as in since its inception in February 2009) ZeroHedge has fully joined the buy-equities-now bandwagon.

As for me, as you might guess, I’m not quite in that party. To be sure, I don’t feel like the kid in a candy store that I have at times earlier this year, but when I look at the /NQ futures, what I see is a market which can easily be argued to have burned off its oversold condition, even now:

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Near and Far

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As a follow-up to last night’s post about gap-sealing, I wanted to turn our attention to the two big crypto charts and check in on the Animal Spirits.

After the dramatic failure at 1705 last Friday (arrow below), Ethereum and the whole crypto space went into a free-fall. Since that time, it has hammered out a perfectly-formed inverted H&S pattern. This, for the bulls, should be the most encouraging chart around, since it speaks to a meaningful push higher in the final week of 2022’s first half.

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