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As Inflation Retreats, How Will Equities Perform in 2024?During the 1990s and again in the 2010s, equity and bond investors celebrated a goldilocks economy. GDP and employment growth were solid and core inflation remained comfortably around 2% per year despite increasingly tight labor markets. That scenario was occasionally interrupted, notably by the tech wreck recession in 2001, the 2008 global financial crisis, and most recently by the pandemic-era surge in inflation. But by late 2023, inflation appeared to be coming down globally. Comparing the annualized inflation rates during the six months from December 2022 to May 2023, and the six months from June to November 2023, inflation rates have fallen sharply in every major economy (Figure 1). Figure 1: Core inflation rates are falling rapidly worldwide Source: Bloomberg Professional (CPI XYOY, CACPTYOY, UKHCA9IC, CPIEXEMUY, JPCNEFEY, ACPMXVLY, NOCPULLY, CPEXSEYY, SZEXIYOY, NZCPIYOY) Granted, things still don’t feel great for consumers, who appear to be less sensitive to the rate of change in prices than they are to level of prices which remain high and are still climbing, albeit at a slower pace than before. Nevertheless, it appears that the main drivers of inflation -- supply chain disruptions (Figure 2) and surging government spending (Figure 3) -- subsided long ago. Supply chain disruptions sent the prices of manufactured goods soaring beginning in late 2020. Depressed pandemic-era services prices initially masked the surge in inflation, but services prices began soaring as the world reopened in 2021 and 2022 driven by surging government spending, which created new demand but no new supply of goods and services. Since then, however, supply chain disruptions have faded despite Russia’s invasion of Ukraine, and with little impact thus far from the conflict between Israel and Hamas. Moreover, government spending has rapidly contracted as pandemic-era support programs have expired despite some increases in spending related to infrastructure and the military. As such, not even the low levels of unemployment prevailing in Europe, U.S. and elsewhere appear to be sustaining the rates of inflation witnessed in 2021 and 2022. Figure 2: Supply chain disruptions drove inflation in manufactured goods in 2020 and 2021. Source: Bloomberg Professional (WCIDLASH and WDCISHLA) Figure 3: U.S. government spending has fallen from 35% to 22.6% of GDP Source: Bloomberg Professional (FFSTCORP, FFSTIND, FFSTEMPL, FFSTEXC, FFSTEST, FFSTCUST, FFSTOTHR, GDP CUR$, FDSSD), CME Group Economic Research Calculations U.S. core CPI is still running at 4% year on year but its annualized pace slowed to 2.9%. What’s more is that in the U.S. most of the increase in CPI has come from one component: owners’ equivalent rent, which imputes a rent that homeowners theoretically pay themselves based off actual rents on nearby properties. Outside of owners’ equivalent rent, inflation in the U.S. is back to 2%, its pre-pandemic norm (Figure 4). Figure 4: U.S. inflation is much lower when excluding home rental Source: Bureau of Labor Statistics, Bloomberg Professional (CPI YoY and CPI XYOY) Moreover, inflation in China has been running close to zero in recent months and has sometimes even shown year-on-year declines. In China, real estate grew to be as much as 28% of GDP, and the sector is now rapidly contracting. China’s year-on-year pace of growth for 2023 looks solid at around 5%, but that’s not too impressive given than the year-on-year growth rate compares to 2022, when the country spent much of the year in COVID lockdowns. By the end of 2023, China’s manufacturing and services sectors were both in a mild contraction, according to the country’s purchasing manager index data. If growth doesn’t improve in 2024, China may export deflationary pressures to the rest of the world. That doesn’t mean that the are no upward risks to prices. If the Israel-Hamas war broadens and interrupts oil supplies through the Suez Canal, that could reignite inflation. Moreover, green infrastructure spending, rising military spending, near-shoring as well as demographic trends in places like South Korea, Japan, China and Europe that limit the number of new entrants in the global labor market could potentially keep upward pressure on inflation. For the moment, however, any inflationary impacts from geopolitical or demographic factors appear to be overwhelmed by the usual set of factors keeping inflation contained including technological advancement and large labor cost differentials among nations. So, what does this mean for investors? As we begin 2024, fixed income investors are pricing about 200 basis points (bps) of rate cuts by the Federal Reserve over the next 24 months, and the S&P 500 is trading close to a record high. Be warned, however, interest rate expectations have been extremely volatile over the past 12 months, oscillating between expecting rate hikes to rate cuts by as many as 200 bps or more (Figure 5). If we continue to see strong employment and consumer spending numbers combined with weakening inflation numbers, this may keep rate expectations caught in a volatile crosscurrent. Figure 5: Investors price steep Fed cuts but rate expectations are extremely volatile Source: Bloomberg Professional (FDTRMID, FFZ15...FFZ25), CME Economic Research Calculations Moreover, while equities did well in 2023, their rally was narrow, driven by only a handful of large tech and consumer discretionary stocks, while most other stocks including small caps were largely left behind. Finally, the stock market itself isn’t cheap. The S&P 500 is trading at 23.37x earnings and the Nasdaq 100 at 59x earnings. As a percentage of GDP, the S&P 500’s market is still close to historic highs. Finally, even with 2023’s rally, the indexes are trading at basically the same levels at which they ended 2021 (Figure 6). Part of the reason stocks did so well in the 1990s and 2010s is that they started out those decades cheap. The same cannot be said of the starting values for 2024 (Figure 7). Figure 6: Nasdaq and S&P 500 are near end of 2021 levels but the Russell 2000 lags behind Source: Bloomberg Professional (SPX, NDX and RTY) Figure 7: Going into 2024, equities aren’t cheap like they were in 1994 or 2014 Source: Bloomberg Professional (SPX, GDP CUR$, USGG10YR). If you have futures in your trading portfolio, you can check out on CME Group data plans available that suit your trading needs www.tradingview.com By Erik Norland, Executive Director and Senior Economist, CME Group *CME Group futures are not suitable for all investors and involve the risk of loss. Copyright © 2023 CME Group Inc. **All examples in this report are hypothetical interpretations of situations and are used for explanation purposes only. The views in this report reflect solely those of the author and not necessarily those of CME Group or its affiliated institutions. This report and the information herein should not be considered investment advice or the results of actual market experience.
CME_MINI:ES1!Education
by CME_Group
Economic Lessons From 2023We entered 2023 with a pessimistic consensus outlook for U.S. economic performance and for how rapidly inflation might recede. As it happened, there was no recession, and personal consumption posted sustained strength. Inflation, except shelter, declined dramatically from its 2022 peak. The big economic driver in 2023 was job growth. Jobs had recovered all their pandemic losses by mid-2022 and continued to post strong growth in 2023, partly due to many people returning to the labor force. When the economy is adding jobs, people are willing to spend money. The key for real GDP in 2023 was the strong job growth that led to robust personal consumption spending. For 2024, labor force growth and job growth are anticipated by many to slow down from the unexpectedly strong pace of 2023, leading to slower real GDP growth in 2024. And there is still plenty of debate about whether a slowdown in 2024 could turn into a recession. Followers of the inverted yield curve will point out that it was only in Q4 2023 that the yield curve decisively inverted (meaning short-term rates are higher than long-term yields). It is often cited that it takes 12 to 18 months after a yield curve inversion for a recession to commence. Using that math, Q2 2024 would be the time for economic weakness to appear based on this theory. Only time will tell. The rapid pace of inflation receding in the first half of 2023 was a very pleasant surprise. Indeed, inflation is coming under control by virtually every measure except one: shelter. The calculation of shelter inflation is highly controversial for its use of owners’ equivalent rent, which assumes the homeowner rents his house to himself and receives the income. This is an economic fiction that many argue dramatically distorts headline CPI, given that owners’ equivalent rent is 25% of the price index. Once one removes owners’ equivalent rent from the inflation calculation, inflation is only 2%, and one can better appreciate why the Federal Reserve has chosen to pause its rate hikes, even as it keeps its options open to raise rates if inflation were to unexpectedly rise again. The bottom line is that monetary policy reached a restrictive stance in late 2022 and was tightened a little more in 2023. For a data dependent Fed, inflation and jobs data for 2024 will guide us as to what might happen next. Good numbers on inflation or a recession might mean rate cuts. Otherwise, the Fed might just keep rates higher for longer. If you have futures in your trading portfolio, you can check out on CME Group data plans available that suit your trading needs www.tradingview.com By Bluford Putnam, Managing Director & Chief Economist, CME Group *Various CME Group affiliates are regulated entities with corresponding obligations and rights pursuant to financial services regulations in a number of jurisdictions. Further details of CME Group's regulatory status and full disclaimer of liability in accordance with applicable law are available below. **All examples in this report are hypothetical interpretations of situations and are used for explanation purposes only. The views in this report reflect solely those of the author and not necessarily those of CME Group or its affiliated institutions. This report and the information herein should not be considered investment advice or the results of actual market experience.
Editors' picks
CME_MINI:ES1!Education
by CME_Group
12
Quantitative Tightening Effects on the Markets This video tutorial discussion: • What is QE and QT? • Each impact to the stock market • The latest QT, how will the stock market into 2024? Dow Jones Futures & Its Minimum Fluctuation E-mini Dow Jones Futures 1.0 index point = $5.00 Code: YM Micro E-mini Dow Jones Futures 1.0 index point = $0.50 Code: MYM Disclaimer: • What presented here is not a recommendation, please consult your licensed broker. • Our mission is to create lateral thinking skills for every investor and trader, knowing when to take a calculated risk with market uncertainty and a bolder risk when opportunity arises. CME Real-time Market Data help identify trading set-ups in real-time and express my market views. If you have futures in your trading portfolio, you can check out on CME Group data plans available that suit your trading needs www.tradingview.com
FRED:WALCLEducation
by konhow
2
Inflation Wears Out Its Welcome in JapanHas anybody ever told you to be careful what you wish for because you might get it? Well, the Bank of Japan appears to be in one of those situations today. Japan spent three decades oscillating into and out of deflation. As such, when inflation started to rise in 2022, the BOJ was initially thrilled. Finally deflation was coming to an end, and inflation was heading up to a target of 2.5%. The problem is that inflation didn’t stop heading higher at 2.5%. It’s now up to 4.2% excluding fresh food and energy. In a nation with a large elderly population where many people are on fixed incomes, having inflation too high is just as bad has having it too low. But why should the rest of the world care what happens to Japan’s inflation rate? For starters, Japan has the world’s fourth largest economy, and what happens to the yen and to Japanese bond yields is of worldwide consequence. Beginning in 2012, the BoJ launched a mega quantitative easing program – four times bigger than what the Federal Reserve did relative to the respective size of their economy. This QE program sent the yen plunging as the BoJ also capped 10-year Japanese government bond yields. But recently, they have softened the cap, sending not only Japanese bond yields higher but raising the cost of long-term borrowings all around the world, including in the United States and Europe. If you have futures in your trading portfolio, you can check out on CME Group data plans available that suit your trading needs www.tradingview.com By Erik Norland, Executive Director and Senior Economist, CME Group *Various CME Group affiliates are regulated entities with corresponding obligations and rights pursuant to financial services regulations in a number of jurisdictions. Further details of CME Group's regulatory status and full disclaimer of liability in accordance with applicable law are available below. **All examples in this report are hypothetical interpretations of situations and are used for explanation purposes only. The views in this report reflect solely those of the author and not necessarily those of CME Group or its affiliated institutions. This report and the information herein should not be considered investment advice or the results of actual market experience.
TVC:JP10YEducation
by CME_Group
U.S. Economy Less Interest Rate SensitiveDespite the fastest rise in interest rates since 1981, and an inverted yield curve where short-term rates are much higher than long-term bond yields, the United States has not (at least yet) experienced the recession forecast by the vast majority of market pundits and economists. Why not? The relatively few contrarians that did not forecast a recession, including myself, had many reasons for a more optimistic view. However, the most critical reason appears to have been an appreciation of how the U.S. economy has changed over decades and become much less sensitive to interest rates. In the 1950s, 1960s and 1970s, the U.S. economy was driven by housing and manufacturing. The only choice to finance a home was the 30-year fixed rate mortgage, provided by a savings and loan institution, that deliberately borrowed short-term from savers and lent long-term, taking considerable interest rate and yield curve risk. Further, there was no such thing as financial futures or interest rate swaps to allow for the efficient hedging of interest rate risk. Fast forward to the modern economy of the 2020s. The U.S. is an economy driven by the service sector, and services are considerably less sensitive to interest rate swings than housing and automobiles. Home mortgages come in every size and flavor, from floating rates to fixed rates. Mortgages are originated by specialists and then packaged and sold to pensions, endowments and investors willing to take the risk. There are no savings and loan institutions. Financial futures, swaps and options are available for efficient hedging and management of interest rate risk. In short, the U.S. economy does not dance to interest rates like it once did. Make no mistake, though; interest rate shifts have a profound impact on asset values, from equities to bonds, to housing. It is just that the impact on the real economy is much more subdued than it once was, and a rise in rates does not automatically mean a recession is around the corner. If you have futures in your trading portfolio, you can check out on CME Group data plans available that suit your trading needs www.tradingview.com By Bluford Putnam, Managing Director & Chief Economist, CME Group *Various CME Group affiliates are regulated entities with corresponding obligations and rights pursuant to financial services regulations in a number of jurisdictions. Further details of CME Group's regulatory status and full disclaimer of liability in accordance with applicable law are available here: www.cmegroup.com **All examples in this report are hypothetical interpretations of situations and are used for explanation purposes only. The views in this report reflect solely those of the author and not necessarily those of CME Group or its affiliated institutions. This report and the information herein should not be considered investment advice or the results of actual market experience.
CBOT:ZN1!Education
by CME_Group
EUR, GBP Rebound Against Dollar as Inflation Trends DivergeEuropean currencies have been rebounding strongly versus the U.S. dollar since hitting bottom in late September 2022 during the Gilt crisis when yields on U.K. government bonds surged. The rally in European currencies accelerated in July 2023 following the release of the U.S. inflation statistics (Figure 1). Figure 1: EUR and GBP have rebounded strongly in recent weeks and months Recent U.S. and European inflation data are highly divergent. U.K. core inflation has climbed to above 7%. Eurozone core inflation has risen towards 5.4% while the U.S. core consumer price index (CPI) has been falling towards 4.8%, down from a peak of 6.6% last year. What’s even more remarkable is that the divergence between U.S. and European inflation rates is much stronger when one measures it in a consistent fashion. The U.K. and European Union (EU) use a “harmonized” measure that is consistent across Europe. The harmonized measure includes rents of actual rental properties but, unlike the standard U.S. numbers, does not assume that homeowners rent properties from themselves. Excluding the so-called owners’ equivalent rent (OER) from the U.S. numbers makes a huge difference. At the moment, the assumption that homeowners rent properties from themselves has exaggerated U.S. core inflation to the tune of 2.5%. The U.S. Bureau of Labor Statistics produces what they term an “experimental” harmonized measure of core-CPI that gauges inflation the same way as in Europe and therefore excludes the OER component. This shows core inflation in the U.S. to be 2.3%, far below European levels and trending lower rather than higher (Figure 2). Figure 2: Measured consistently, U.S. core inflation is half to one-third European levels This suggests that the U.S. Federal Reserve (Fed), which appears to be preparing a 25-basis-point (bps) rate hike on July 26, could soon have its policy rate at more than 3% above the level of harmonized core inflation (Figure 3). Meanwhile, the Bank of England (BoE), which just raised rates to 5%, still has rates more than 2% below its rate of harmonized core inflation (Figure 4). The European Central Bank (ECB) has its main refinancing rate at 4%, 1.4% below the level of the eurozone’s harmonized core inflation (Figure 5). Figure 3: Fed Funds now exceed harmonized U.S. Core CPI by 3%, the most since 2007 Figure 4: The BoE’s policy rate is still 2% below inflation Figure 5: The ECB has its policy rate 1.4% below Eurozone core inflation The differences in the level of real rates (policy rates minus harmonized core inflation) suggests that the Fed may have overtightened policy and may need to reduce rates sooner than expected by market participants. By contrast, those same measures suggest that the European central banks may still be behind their inflation curve and may need to tighten policy even more substantially. Indeed, forward curves have moved significantly in the direction of this thinking in recent weeks and now price just 25 bps more in rate hikes for the Fed compared to 75 bps for the eurozone and 125-150 bps in the U.K. Elsewhere, the U.S. yield curve is much more sharply inverted than yield curves in the eurozone or the U.K. This may also lead currency traders to look past the Fed’s last expected rate hike and towards possible rate cuts if monetary overtightening produces a downturn in the U.S. sooner than it does in Europe. If you have futures in your trading portfolio, you can check out on CME Group data plans available that suit your trading needs www.tradingview.com By Erik Norland, Executive Director and Senior Economist, CME Group *Various CME Group affiliates are regulated entities with corresponding obligations and rights pursuant to financial services regulations in a number of jurisdictions. Further details of CME Group's regulatory status and full disclaimer of liability in accordance with applicable law are available here: www.cmegroup.com **All examples in this report are hypothetical interpretations of situations and are used for explanation purposes only. The views in this report reflect solely those of the author and not necessarily those of CME Group or its affiliated institutions. This report and the information herein should not be considered investment advice or the results of actual market experience.
Education
by CME_Group
Three Driving Forces Behind the Ether-Bitcoin Exchange RateAt a glance: Higher tech stocks tend to boost ETHBTC, while a higher USD tends to depress it Bitcoin supply is perfectly inelastic, which contributes to its high volatility Together, ether and bitcoin account for over 60% of the total value of the world’s cryptocurrencies, but the exchange rate between the two has varied widely over time. So, what drives the Ether-Bitcoin exchange rate? The ETHBTC cross rate responds to many factors, but here are three of them. Technology Stocks On days when the tech heavy Nasdaq 100 index rallies, ether tends to rise versus bitcoin. This may be because ether, which is the currency of the Ethereum smart contract network, has more practical applications in the technology space than bitcoin, which is mainly held as a store of value and a medium of exchange. U.S. Dollar On days when the U.S. dollar is higher, ether tends to underperform versus bitcoin. Bitcoin Supply While ether can be supplied up to 18 million coins per year, bitcoin supply is limited to a maximum of 21 million coins ever, of which about 19 million already exist. Every four years, the supply of new bitcoin drops in half. In the past, halvings have often been preceded by large runups in bitcoin prices and tremendous increases in the amount of revenue that bitcoin miners are paid for matching transactions. Ether is both more volatile than bitcoin and highly correlated to bitcoin. As such, when bitcoin rises or falls versus the U.S. dollar, ether often moves to an even greater degree. If you have futures in your trading portfolio, you can check out on CME Group data plans available that suit your trading needs www.tradingview.com By Erik Norland, Executive Director and Senior Economist, CME Group *Various CME Group affiliates are regulated entities with corresponding obligations and rights pursuant to financial services regulations in a number of jurisdictions. Further details of CME Group's regulatory status and full disclaimer of liability in accordance with applicable law are available here: www.cmegroup.com **All examples in this report are hypothetical interpretations of situations and are used for explanation purposes only. The views in this report reflect solely those of the author and not necessarily those of CME Group or its affiliated institutions. This report and the information herein should not be considered investment advice or the results of actual market experience.
CME:BTC1!Education
by CME_Group
Specific Trendline to Determine the Direction of any MarketHow to identify the specific points for trendline to determine the direction of the market? In this example, I am using the Nasdaq index. You can use this trendline technique to any markets because its principles in this tutorial are applicable throughout whether to an individual stock, indices or even commodities. I am going to introduce the primary and secondary trendlines, I hope after this tutorial, it will bring greater clarity in how you can deploy them. Disclaimer: • What presented here is not a recommendation, please consult your licensed broker. • Our mission is to create lateral thinking skills for every investor and trader, knowing when to take a calculated risk with market uncertainty and a bolder risk when opportunity arises. This method I just shared, it can be applied to any market and any timeframe, be it the minute chart or the weekly chart. Micro E-Mini Nasdaq 0.25 = US$0.50 1.00 = US$2
Editors' picks
CME_MINI:MNQ1!Education
by konhow
14
Bitcoin - For Trading Not for InvestingWhen Bitcoin was trading at around 60,000 level in late 2021 and before that year, whenever friends, acquaintance and participants asked my opinion about investing into cryptocurrency, immediately I knew they may not know much about cryptocurrency. To clarify, I am not an expert in cryptocurrency, but I know its intrinsic value could not be calculated then and even today, therefore it is an instrument not for investing but for trading. Let me elaborate, as long as we cannot define its intrinsic value to any so-call an asset, it is not an asset, but an instrument for trading. When we get into trading, meaning, we have to acknowledge the getting in and out, out also represent to exit the market with either a profit or a loss, it is part of the deal in trading – we have to be quick when we make a wrong decision. However, if you position yourself as an investor in crypto, you will either always perceive it will break new high or hope that it will someday go back to its former glory. Throughout the whole tutorial, I will do a recap on how I have spotted this top here in November 2021. I have done this in another personal forum I have back then. I will go through that and it may seem like a hindsight view, but I will apply the same strategy to the current market using just trendline and divergence. Bitcoin Futures Minimum Tick: $5.00 = US$25 or $1.00 = US$5 Contract Value: 20,000 x US$5 = US$100,000 Disclaimer: • What presented here is not a recommendation, please consult your licensed broker. • Our mission is to create lateral thinking skills for every investor and trader, knowing when to take a calculated risk with market uncertainty and a bolder risk when opportunity arises.
CME:BTC1!Education
by konhow
2
Bitcoin Futures v Spot: A Tale of Two Bities. It was the best of trades, it was the worst of trades. Look, I had to get that one in. This update is a quick answer to an email received on CME micro bitcoin futures. To trade or not to trade? Answer: there are pros and cons here. Some points: Micros are very algo driven with the May contract currently looking heavy from just one participant stacking bids and offers. Weird. That will change. Not trading a lot of volume yet. That will change. Full sized contract (equals 5 bitcoins), with margin close to $100k, is too rich for most. Micro contract (1/10th of a BTC) is a good entry level size. Wider bid/ask spreads on all futures contracts compared to spot. It will change should the product develop. Futures have far lower comms than spot coins. Commission example: Crossing the spread (buying 1 and selling 1 at market) in the micro burns $6 in price plus say $2 for (expensive) comms round turn. That’s $8 to play a contract size of $4535. That’s in and out. For spot, Kraken for example charge up to 0.26% to buy or sell at market. Even getting in and out at the same price, would cost $23.58 for the same sized trade as the futures. So three times the fees even when the spread size is covered. Coinbase fees are 0.50%. Comms from one broker/platform to the next very of course and they vary over time, but that’s an interesting example. Futures downside: liquidity at this stage, but that will change. It’s a new contract. With futures, you also have to pay monthlies for platform and data. Some brokers offer free basic platforms, but the data still costs. Trading once or twice does not make it worth the bother. Spot platforms and spot data do not seem to draw a monthly (for now, but you watch). Futures are more for active traders where comms matter. Spot is a better option for long term HODLers. Pros and cons. Not all points covered here. It’s just a start. The CME Groupo site have some great info on futures. Please like & follow for more updates and dumb references.
CME:MBT1!Education
by TheTradarien
5
Understanding Risk/Reward through Bitcoin's CME Futures GapsIf you like this analysis, please make sure to like the post! I would also appreciate it if you could leave a comment below with some original insight. In this post, I will be explaining the concept of the Risk/Reward Ratio, also known as the RRR, and the significance of this idea when it comes to trading. I will also be explaining how this can be applied to Bitcoin's CME Futures Chart on the daily, in regards to gaps. Analysis - To begin with, Bitcoin's CME Futures chart shows a huge gap leading down to 9.6k - Unfortunately, this gap is yet to be filled. - Given that 99% of gaps that have been created get filled some time in the future, it's likely that this gap will fill as well - However, solely approaching the chart from the perspective of gaps has its limitations - For instance, the gap at 11.4k took almost a year to fill. - As such, gaps don't provide us with a specified time frame as a reference - Should we fill the gap right now, and bounce at gap support, that would be a 7% move downwards from the current price - Should we see a stronger bearish price movement that extends below the price gap, we could see a 15% move downwards based on support levels - The gap support at 8.8k converges with the descending trend line support on the weekly, as well as the 0.5 Fibonacci retracement support (refer to our previous analysis) - As such, it's reasonable to conclude that a bearish price movement over 15% is less probable. - On the bright side, it's also important to note that there are some gaps above the current price, indicating potentiality for bullishness - There is a wide gap at 10.5k levels, and another one at 11.4k - Given this information, we can estimate our risk/reward when entering a position at current levels - Splitting our entries into three different levels, we can: 1. Enter at the current price of 10.2k 2. Dollar Cost Average (DCA) at the 0.382 Fibonacci retracement support at 9.4k 3. Enter at gap support around 8.8k - This way, we know that our risk is limited, and that the upside remains huge, due to the overall trend being bullish. - Based on significant support and resistance levels, a trader would then calculate his stop loss target and take profit targets according to his risk appetite. Conclusion The trend is your friend. While the short term trend may appear bullish, it could be said that the overall trend for the long term remains bullish. As such, it would be better to look for spot/long entries near support. Don't predict the market. Take it by levels, and play by probabilities. - Michael Wang-
CME:BTC1!Education
by Michael_Wang_Official