Conspiracy or something moreI wanted to post this post to get comments and thoughts of others here.
Have you ever seen the film "In Time" ??
Imagine you switch out the countdown timer for Bitcoin, after all it won't be long and everyone can have them embedded under the skin.
If you haven't seen the film, here's a CHATGPT explanation summary.
OK so what does this have to do with trading or Bitcoin?
Blackrock and the ETF's is a big play for Bitcoin, but maybe not in the way majority of retail seem to think it is. When you really stop to think - let me know your thoughts.
Also latest Tradingview stream earlier.
www.tradingview.com
Have a good one guys!
Well, as a long time cyber security investor (patents in the space also) I find it hard to believe the powers that be, can't seem to figure out one who created it and two how to regulate it and other crypto. It's a bit odd given it's an immutable ledger tech.
So What I wanted to see, is what other people think - both good and bad, pros or cons, ups and downs?
Etfs
QQQ - Is It Rally Time? Or Are You Too Early?I have an open call on the Nasdaq NQ CME Futures that theorizes that the markets may have topped in terms of the perpetual bull run, but that we may also get a rip back towards/at new highs.
Nasdaq NQ - Is It Time To Sell The Rip?
The process has been quite slow to play out so far, but the most dangerous thing for bulls with NQ is that 15,000 has not yet been broken.
And yet we are rallying.
Many people have been pining for new all time highs, and yet every equity has slowed down or been significantly bearish in the last two weeks.
It's worth noting key macro points:
1. Fed rates are looking at tasting 6% by the end of the year
2. Jerome Powell says cuts aren't even considered until inflation becomes half of what it is
3. Dude said it will probably take years for this
4. Bond price goes down as yield goes up
5. Money leaves equities to seek yield in this environment
6. Divergences from the above are short signals, not buy for all time high signals
And then there is the ever-accelerating collapse of the economy in Mainland China under the Communist Party. Things for the CCP, and for its leader Xi Jinping, are getting worse by the day.
On top of economic problems the Party is facing are a litany of social problems, and the recent bout of exceptional and unprecedented flooding ravaging the country.
The losses from the pandemic, from the economic calamity, and the natural disasters have weakened the Party significantly. A weak CCP can never invade Taiwan, and international spy agencies will all know this, and so whenever you're hearing "Taiwan War" you should immediately be suspect.
What if the idea is to take control of Mainland China via Taiwan as the CCP falls, instead?
What will happen to the international markets that day? Will they go up, or will they crash?
So, here's a look at QQQ, the Nasdaq ETF that you can trade 0-Day options on.
From the looks of today's price action it would seem as if the bottom was in.
And it may very well be. This is a really key point. Friday may really well have been the bottom and we may be looking at a reversal.
But there's some key points to consider for bulls.
One is that in the Nasdaq call, I point out that NQ raided its January of 2022 failure pivot before the correction.
QQQ has not done that yet, and this leads us to believe that $390 is a very likely target in the immediate future.
Remember that upside should happen fast, since JP Morgan is bigly long SPX 4,200 puts that expire on September 29, and has been underwater since the quarter rolled over at the end of July.
SPX/ES - An Analysis Of The 'JPM Collar'
However, it's also very strange if we're going to see a bounce as massive as $390, that the end of July failure swing didn't result in at least one downside stop being taken out.
Note that today, Monday, was a day with no news drivers, while there is retail sales and Empire Manufacturing Index Tuesday, FOMC minutes Wednesday, Unemployment Claims on Thursday, and no news driver on Friday, which is also monthly options expiry.
The critical Jackson Hole Federal Reserve meeting is also August 23 and 24, next week.
Last year, Jackson Hole is what started a major correction that lasted until October.
So what to expect? Instead of a reversal in fortune being so easy, I would imagine we see a raid of QQQ $360/Nasdaq 14,900 this week before we bounce.
After that, it will be long only until QQQ $385, is my trade thesis.
But keep in mind $390 does not have to be taken. $385 is a potential area of reversal and $391 is an area that only has to print one contract before there's a correction.
So, thanks for reading. The TL;DR is this
Buy a raid under $360-355. Probably just under $360.
Long only until $385.
Get "Big Short" over $390 or on a reversal pattern between $385 and $388.
Good luck.
HYXU: Resistance Break & RestestTechnical Analysis:
HYXU (iShares International High Yield Bond ETF) has been slowly grinding upward since it's October '22 lows. After almost 17 months beneath the Bull Market Support Band (20w SMA, 21w EMA), it crossed over the the upside in November of last year and has shown significant gains in the last 10 months.
The assets last big push came at the significant resistance level at $47.50, which it finally flipped after 3 failed attempts. Having just completed a successful retest of the level as support, I anticipate a clean move up to $49, then $51.25, based on prior S/R levels.
Fundamental Analysis:
As we've all had our eyes on the Fed for the last year and a half, I'm sure most of you know that interest rates are at their highest levels in roughly 22 years. By doing this, the Fed has pulled a large portion of liquidity out of the bond market with enticing, low-risk Treasury yields.
However, as we approach their terminal rate of ~550 BPs, and as the high cost of money starts to impede businesses' ability to invest and grow, I anticipate a rotation out of stocks and into fixed income investments. The most readily accessible of which, for retail investors, are corporate bond ETFs such as HYXU.
With a yield of ~6.5%, it remains more than competitive with even the highest paying treasury, and offers investors a liquid alternative to locking up their funds for months or years.
Feel free to post your questions, comments, concerns, qualms, quandaries, contributions, or conversation below!
**Disclaimer**
This commentary is provided for general informational purposes only and does not constitute financial, investment, tax, legal or accounting advice nor does it constitute an offer or solicitation to buy or sell any securities referred to. Individual circumstances and current events are critical to sound investment planning; anyone wishing to act on this article should consult with his or her advisor.
DIA - Rising Trend Channel [MID-TERM]🔹Achieved target at 351 after breaking Rectangle formation.
🔹Supports 342 in NEGATIVE reaction.
🔹RSI curve shows rising trend, supporting positive trend.
🔹Technically POSITIVE for medium long term.
Chart Pattern;
🔹DT - Double Top | BEARISH | 🔴
🔹DB - Double Bottom | BULLISH | 🟢
🔹HNS - Head & Shoulder | BEARISH | 🔴
🔹REC - Rectangle | 🔵
🔹iHNS - inverse head & Shoulder | BULLISH | 🟢
Verify it first and believe later.
WavePoint ❤️
IWM - Rising Trend Channel [MID-TERM]🔹Breakout resistance 179 in double bottom formation.
🔹Approaches resistance at 198 potential NEGATIVE reaction; upward break POSITIVE.
🔹Technically NEUTRAL for medium long term.
Chart Pattern;
🔹DT - Double Top | BEARISH | 🔴
🔹DB - Double Bottom | BULLISH | 🟢
🔹HNS - Head & Shoulder | BEARISH | 🔴
🔹REC - Rectangle | 🔵
🔹iHNS - inverse head & Shoulder | BULLISH | 🟢
Verify it first and believe later.
WavePoint ❤️
QQQ - Rising Trend Channel [MID-TERM]🔹Double top formation NEGATIVE signal broke support at 376..
🔹Support at 334 and resistance at 385.
🔹Technically NEUTRAL for medium long term.
Chart Pattern;
🔹DT - Double Top | BEARISH | 🔴
🔹DB - Double Bottom | BULLISH | 🟢
🔹HNS - Head & Shoulder | BEARISH | 🔴
🔹REC - Rectangle | 🔵
🔹iHNS - inverse head & Shoulder | BULLISH | 🟢
Verify it first and believe later.
WavePoint ❤️
XLE - Falling Trend Channel🔹Breakout Falling Trend Ceiling in medium long term.
🔹Once breakout resistance 87.4 be POSITIVE signal.
🔹Short-term momentum is POSITIVE with RSI above 70.
Chart Pattern;
🔹DT - Double Top | BEARISH | 🔴
🔹DB - Double Bottom | BULLISH | 🟢
🔹HNS - Head & Shoulder | BEARISH | 🔴
🔹REC - Rectangle | 🔵
🔹iHNS - inverse head & Shoulder | BULLISH | 🟢
Verify it first and believe later.
WavePoint ❤️
SPY - Rising Trend Channel [MID -TERM]🔹POSITIVE signal with breakout resistance at 436 Rectangle formation.
🔹Support at 430 and resistance at 458, 477.
🔹Technically POSITIVE for medium long-term.
Chart Pattern;
🔹DT - Double Top | BEARISH | 🔴
🔹DB - Double Bottom | BULLISH | 🟢
🔹HNS - Head & Shoulder | BEARISH | 🔴
🔹REC - Rectangle | 🔵
🔹iHNS - inverse head & Shoulder | BULLISH | 🟢
Verify it first and believe later.
WavePoint ❤️
XLV - Horizontal Trend Channel🔹Breakout ceiling trend channel in short-term
🔹Breakout resistance at 136, next resistance at 140.
🔹Technically POSITIVE for the medium long term.
Chart Pattern;
🔹DT - Double Top | BEARISH | 🔴
🔹DB - Double Bottom | BULLISH | 🟢
🔹HNS - Head & Shoulder | BEARISH | 🔴
🔹REC - Rectangle | 🔵
🔹iHNS - inverse head & Shoulder | BULLISH | 🟢
Verify it first and believe later.
WavePoint ❤️
SPY - Rising Trend Channel [MID -TERM]
🔹POSITIVE signals rectangle formation with resistance breakout at 436 , potential next resistance at 477 and support at 430.
🔹Technically POSITIVE for the medium long term.
Chart Pattern;
🔹DT - Double Top | BEARISH | 🔴
🔹DB - Double Bottom | BULLISH | 🟢
🔹HNS - Head & Shoulder | BEARISH | 🔴
🔹REC - Rectangle | 🔵
🔹iHNS - inverse head & Shoulder | BULLISH | 🟢
Verify it first and believe later.
WavePoint ❤️
VOO - Rising Trend Channel [MID -TERM]🔹Strong rising trend channel in the medium long term.
🔹POSITIVE signal breakout 401 resistance in Rectangle Formation.
🔹Between support 395 and resistance 424, 439.
🔹RSI rises to 70 due to recent price rise.
🔹Technically POSITIVE for the medium long term.
Chart Pattern;
🔹DT - Double Top | BEARISH | 🔴
🔹DB - Double Bottom | BULLISH | 🟢
🔹HNS - Head & Shoulder | BEARISH | 🔴
🔹REC - Rectangle | 🔵
🔹iHNS - inverse head & Shoulder | BULLISH | 🟢
Verify it first and believe later.
WavePoint ❤️
SPXL - Rising Trend Channel [MID -TERM]🔹POSITIVE signal from the rectangle formation by a break up through the resistance at 86.23 and next resistance 113.
🔹Between support at 75 and resistance at 95.
🔹Technically positive for the medium long term.
Chart Pattern;
🔹DT - Double Top | BEARISH | 🔴
🔹DB - Double Bottom | BULLISH | 🟢
🔹HNS - Head & Shoulder | BEARISH | 🔴
🔹REC - Rectangle | 🔵
🔹iHNS - inverse head & Shoulder | BULLISH | 🟢
Verify it first and believe later.
WavePoint ❤️
SOXL - Rising Trend Channel [MID TERM]🔹Breakout the rising trend up in the medium long term.
🔹Achieves target at 25.20 after breaking rectangle formation.
🔹Support at 22 and resistance at 46.
🔹Technically positive for medium-term long-term.
Chart Pattern;
🔹DT - Double Top | BEARISH | 🔴
🔹DB - Double Bottom | BULLISH | 🟢
🔹HNS - Head & Shoulder | BEARISH | 🔴
🔹REC - Rectangle | 🔵
🔹iHNS - inverse head & Shoulder | BULLISH | 🟢
Verify it first and believe later.
WavePoint ❤️
QQQ Correcting in Wave 4 and Should Find BuyersRally in Nasdaq 100 ETF (QQQ) from 3.13.2023 low is in progress as a 5 waves Elliott Wave impulse. Up from 3.13.2023 low, wave 1 ended at 322.16 and pullback in wave 2 ended at 309.8. The Index then extends higher in wave 3. Up from wave 2, wave ((i)) ended at 323.63 and dips in wave ((ii)) ended at 315.2. Rally in wave (((iii)) ended at 357.5 and pullback in wave ((iv)) ended at 347.38 as the 45 minutes chart below shows.
Index then rallies higher in wave ((v)). Up from wave ((iv)), wave (i) ended at 353.62 and pullback in wave (ii) ended at 351.13. The Index extends higher in wave (iii) towards 366.19 with internal subdivision in 5 waves. Up from wave (ii), wave i ended at 357.66 and wave ii ended at 353.03. Wave iii ended at 364.6, wave iv ended at 360.03, and wave v higher ended at 366.19. This completed wave (iii) in higher degree. Pullback in wave (iv) ended at 360.42. Index then rallies higher in wave (v). Up from wave (iv), wave i ended at 366.88 and dips in wave ii ended at 362.85. Wave iii ended at 371.77, dips in wave iv ended at 369.14, and final wave v ended at 372.85 which completed wave (v) of ((v)) of 3. Expect the Index to pullback in wave 4 to correct cycle from 4.25.2023 low in 3, 7, or 11 swing before the rally resumes. Potential target for wave 4 is 23.6 – 38.2% Fibonacci retracement of wave 3 which comes at 348.8 – 358.01 area. From this area, the Index can then extend higher again.
Nasdaq 100 ETF (QQQ) Resumes Higher in Elliott Wave ImpulseCycle from 3.13.2023 low in QQQ ended in wave ((i)) at 322.16 as the 45 minutes chart below shows. The ETF then corrected in wave ((ii)) which has also ended at 309.78. Internal subdivision of wave ((ii)) unfolded as a double three Elliott Wave structure. Down from wave ((i)), wave a ended at 312.82 and rally in wave b ended at 319.85. ETF extended lower in wave c towards 312.30 which ended wave (w) in higher degree. Rally in wave (x) ended at 321.46 with internal subdivision as a zigzag structure. Up from wave (w), wave a ended at 320.36 and wave b dips ended at 315.61. Wave c higher ended at 321.46 which completed wave (x).
Down from wave (x), wave a ended at 314.10, wave b ended at 317.74, and wave c lower ended at 309.78 which completed wave (y) of ((ii)) in higher degree. QQQ has since resumed higher and broken above wave ((i)) suggesting the next leg higher has started. Up from wave ((ii)), wave i ended at 314.37 and pullback in wave ii ended at 310.22. The ETF extended higher in wave iii towards 322.80. Expect wave iv pullback to end and the ETF extends higher again in wave v to complete wave (i). Afterwards, it should pullback in wave (ii) to correct cycle from 4.26.2023 low in 3, 7, or 11 swing before it resumes higher.
BOIL: Boiling up and down 🥘Still a bit tentatively but visibly, ProShares Bloomberg Natural Gas (aka BOIL) is starting to boil up, quite in accordance with our expectations. As the first part of a three-part counter movement, the ETF should climb further upwards to finish wave a in magenta, before wave b in magenta should return it to its current level. From there, BOIL should rise into the yellow zone between $7.11 and $19.05 to complete wave c in magenta as well as wave (4) in yellow, whose high should then initiate the overarching downwards trend’s final step: wave (II) in white.
Elliott Wave Expects Gold Miners ETF (GDX) Buyers expect soonGold Miners ETF (GDX) shows a bullish sequence from 9.26.2022 low favoring further upside. The 100% – 161.8% Fibonacci extension target from 9.26.2022 low comes at 38.3 – 45.7 area. Rally from there is unfolding as a nest where wave ((1)) ended at 33.34 and wave ((2)) pullback ended at 26.64. Wave ((3)) is in progress as another 5 waves in lesser degree. Up from wave ((2)), wave (1) ended at 36.10. Pullback in wave (2) is in progress to correct cycle from 2.24.2023 low in 3, 7, or 11 swing before the rally resumes.
Internal of wave (2) is in progress as a double three Elliott Wave structure. Down from wave (1), wave ((a)) ended at 34.38, wave ((b)) ended at 35.19, and wave ((c)) ended at 34.07. This completed wave W in higher degree. Corrective rally in wave X ended at 35.19. Wave Y lower is in progress as a zigzag structure. Down from wave X, wave ((a)) ended at 33.60, wave ((b)) ended at 34.63, and wave ((c)) of Y should reach the extreme area at 31.9 – 33.15 blue box area. From this area, the ETF can extend higher in wave (3) or rally in 3 waves at least.
Elliott Wave View: S&P 500 ETF (SPY) Should Stay SupportedS&P 500 ETF (SPY) cycle from 10.13.2022 low is in progress as a diagonal 5 waves. Up from 10.13.2022 low, wave 1 ended at 410, and wave 2 pullback ended at 380.46 as the 1 hour chart below shows. Wave 3 is in progress with subdivision as a 5 waves impulse Elliott Wave structure. Up from wave 2, wave ((i)) ended at 402.49 and dips in wave ((ii)) ended at 389.33. The ETF rallies higher in wave ((iii)) towards 412.50, and dips in wave ((iv)) ended at 405.68.
Wave ((v)) higher is in progress with internal subdivision as a diagonal in lesser degree. Up from wave ((iv)), wave (i) ended at 413.75 and pullback in wave (ii) ended at 407.15. The ETF extends higher in wave (iii) towards 415.09, and dips in wave (iv) ended at 410.06. Expect wave (v) to end soon which should also complete wave ((v)) of 3. Afterwards, the ETF should pullback in wave 4 to correct cycle from 3.13.2023 low in 3, 7, or 11 swing before the rally resumes. Near term, as far as pivot at 380.46 low stays intact, expect pullback to find support in 3, 7, 11 swing for more upside.
Factor Investing: An IntroductionThe concept of factor investing has garnered significant attention in recent years as an innovative approach to portfolio management. The idea behind factor investing is that it seeks to uncover the primary sources of return in investment portfolios, and to explicitly target these sources, known as factors. By systematically identifying and targeting these factors, investors can achieve improved portfolio diversification, risk management, and potentially, enhanced returns.
Factor investing can be traced back to the Capital Asset Pricing Model (CAPM) introduced by Sharpe (1964) and Lintner (1965). The CAPM was a groundbreaking theory that posited that a security's expected return is directly related to its level of systematic risk, measured by the beta coefficient. The concept of beta provided an early example of a factor in investing.
In recent years, factor investing has evolved and expanded considerably. Researchers and investment managers have identified numerous factors that drive investment performance, such as quality, low volatility, and liquidity.
Primary Factors in Investing
Market : The market factor represents the overall market return and is the core factor that drives investment performance. The market factor, or beta, is the exposure of an asset to the general movement of the market.
Size : Size is the factor that focuses on the market capitalization of companies. Small-cap stocks typically offer higher potential returns than large-cap stocks, although they also tend to exhibit higher volatility.
Value : Value investing targets stocks that are considered undervalued relative to their intrinsic value. Value stocks generally have low price-to-earnings, price-to-book, and price-to-cash-flow ratios, and they tend to outperform growth stocks over time.
Momentum : The momentum factor captures the tendency of stocks that have recently outperformed to continue to do so. Momentum investing strategies aim to capture this trend by buying recent winners and selling recent losers.
Quality : Quality is a factor that focuses on financially stable and well-managed companies. Quality stocks typically have high profitability, low leverage, and stable earnings growth.
Low Volatility : Low volatility investing aims to identify stocks that have exhibited low price volatility over time. Low-volatility stocks often deliver better risk-adjusted returns than high-volatility stocks
Benefits of Factor Investing
Factor investing offers several benefits to investors, such as:
Improved diversification : By targeting specific factors, investors can diversify their portfolios across various sources of return and risk, thereby reducing overall portfolio risk.
Enhanced risk management : Factor investing enables investors to better understand the underlying risks in their portfolios and to manage those risks more effectively.
Potential for outperformance : By systematically targeting well-established and robust factors, investors may achieve higher returns than traditional market-cap-weighted indexes.
Cost efficiency : Factor investing strategies are often implemented using rules-based approaches, such as smart-beta or quantitative strategies, which can be more cost-effective than traditional active management.
Transparency : Factor investing strategies are typically more transparent than traditional active management, as they rely on well-defined, rules-based methodologies that are easier for investors to understand and monitor.
Potential Risks of Factor Investing
While factor investing offers many benefits, it is important to be aware of the potential risks associated with this approach:
Factor timing : Just like market timing, attempting to time factor exposures can be difficult and often leads to underperformance. Investors should be cautious about trying to predict when a particular factor will outperform or underperform.
Overfitting : The process of identifying factors can be susceptible to overfitting, where a model is tailored too closely to historical data and may not perform well in the future.
Crowding : As more investors adopt factor investing strategies, the potential for crowding in certain factors may increase, leading to diminishing returns or increased risk.
Model risk : The effectiveness of factor investing strategies relies on the accuracy and stability of the underlying factor models. If the models are not robust or if they become less effective over time, the strategy's performance may suffer.
Diversification risk : While targeting specific factors can help diversify a portfolio, it may also expose investors to concentrated risk if those factors underperform or experience periods of heightened volatility.
Factor investing has revolutionized the way investors approach portfolio management, offering improved diversification, enhanced risk management, and the potential for outperformance. By identifying and targeting the primary drivers of investment performance, factor investing provides a systematic and transparent framework for constructing and managing portfolios.
Trade with care.
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Continuation Wedge (Bullish) | 46% move possibleDirexion Daily Technology Bear 3x Shares forms bullish "Continuation Wedge" chart pattern
"Continuation Wedge (Bullish)" chart pattern formed on Direxion Daily Technology Bear 3x Shares (TECS:NYSE). This bullish signal indicates that the stock price may rise from the close of $22.4 to the range of $31.00 - $33.00. The pattern formed over 17 days which is roughly the period of time in which the target price range may be achieved, according to standard principles of technical analysis.
Tells Me: After a temporary interruption, the prior uptrend is set to continue.
A Continuation Wedge (Bullish) represents a temporary interruption to an uptrend, taking the shape of two converging trendlines both slanted downward against the trend. During this time the bears attempt to win over the bulls, but in the end the bulls triumph as the break above the upper trendline signals a continuation of the prior uptrend.