$TNX broke downtrend, rates likely keep goingLong ago we mentioned that #FederalReserve had decision to make.
They either chose the Economy or the Markets.
They CANNOT do both.
It's obvious, plus they keep repeating, with rate hikes where their mindset is.
Media states that Wall St thinks that #interestrate will be cut.
BUT
Looking @ short term rates, they look primed to go higher.
#bonds
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The 1Yr is moving very nicely.
BUT
The 2YR picked up a lot lately. It's closing in on the 1Yr.
🚨🚨🚨
The 10Yr #yield is cranking & broke downtrend. #TNX
How much higher can things go before they break?
We've also mentioned that extreme #currency devaluation has bullish consequences
(many countries are an example of this)
Dilemma
EDIT:
We're still forming higher highs so market correction likely not there. This tends to happen once the inverted yield curve fixes itself.
2Yr Peak during great financial crisis was 5.28
10Yr Peak was 4.32
#GOLD #silver CRYPTOCAP:BTC
GOLD-SILVER
XAUUSD(GOLD)-07/06/2023Preferred direction: BUY
Comment: Gold slowed down a little with uptrend impulse, unlike Silver. Although such a trend is natural in principle, that silver outperforms gold (especially in %). The previous scenario is in force and has already begun to be worked out. Approach to the level of 1938.915 will be more likely very soon, in addition, given the news background, we can expect an impulsive upward movement. In this case, this level will be stitched through and for buyers it will be necessary to fix it above the specified mark.
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EURUSD-07/05/2023Preferred direction: BUY
Comment: The EUR still retains the buying potential. Today, however, strong growth should not be expected. An excellent entry point is located at the level of 1.09000. You can consider placing a pending order on this idea and go long immediately after the price passes the level of 1.09000. Upside potential is still the same at 1.09623.
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USDJPY-07/04/2023Preferred direction: SELL
Comment: Today, the USDJPY currency pair has the greatest chance of turning down over the past 2–3 months. The potential and most confident short entry point is now located at the level of ~143.8. When closing below this level, the instrument is very likely to roll down to 142.204 and 141.327. However, it is unlikely that the instrument will fall like this right away, maybe the same re-test to ~143.8, after which the movement will resume towards the specified targets.
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The Markets Are Weird...Just when I thought SPX was bearish...
...the bulls pull me back in.
Not many of us in here made millions from trading. One of the reasons is that the markets are weird.
Just when we be lie ve that the bottom is in, another bottom appears.
Just when we be lie ve that more down is coming, no more down comes.
When you open TradingView, and look at the prices, don't fall for the trap. These are the prices the seller put up. Just like browsing the retail markets, you browse the trade markets.
Price action is what the seller wants you to buy into.
The standard, dollar-denominated SPX is shaping into a bear flag.
The not-dollar-denominated SPX is shaping into a bull flag.
This is basically SPX measured against the average non-US buyer.
Which one is right???
It is at these points when buyers/sellers get trapped. They expect one movement, and the opposite comes. The "I shorted the bottom" motto must not be misused, everyone can fall for the trap.
The Stock Market is about long-term strategies. What matters is the stance you keep. Your stance must not get shaken-up from the news.
Last year was the year the classical investment strategy failed.
And that occurred in a period when the US economy was not in a technical recession.
While we cannot perform meaningful measurements on this chart, the trend change cannot be ignored. From a period of the equity-bond pair being bulletproof, we are heading into a period when it is full of holes. Don't believe me? Listen to one smarter than me explaining it...
www.youtube.com
And the culprit of last year's pain was bonds.
I am comparing it with the META price action from last year.
I expect weakness in bonds for many years.
Weakness in Bonds can mean only one thing. Money outflowing from bonds and into alternative investments. Be lie ve it or not, in this environment equities may seem like a reasonable thought.
To confirm this, we must perform some relative analysis on charts.
The KST-Based MACD indicator I developed works beautifully when we want to analyze the performance of a trend.
It basically ignores up-down movement. It takes into consideration the relative strength gained-lost. It is a cousin of RSI, and is analyzed like Stochastic RSI / MACD would be.
This indicator helps us pinpoint trend strength shifts . A bearish signal could mean that a fast growth is beginning to slow down. A bullish signal could mean that a slow growth/drop might turn bullish/go faster. I will not go into much detail as to what is considered a bullish/bearish signal. An explanation might get too long for this idea. For now, take my word for it...
While the US economy (SPX * DXY) might not outright crash, weakness in SPX is apparent.
This chart suggests that the bull-flag that is shaping on the SPX * DXY chart is probably a blow-off-top behavior. This however does not mean that the top is in.
Price has just reached the mean.
From the above we realize that SPX behavior is nearly identical to the 1953 period.
More info about it in this idea below:
Not all is well for SPX however...
Relative weakness of SPX appears, when compared against other continents.
Curiously, a bullish relative performance can be seen when compared against Japan.
There are however many obstacles for SPX to jump through.
The Bitcoin Bubble was born to swallow the Equity Bubble.
Besides crypto, the arch-enemy of SPX are commodities. And the best performer of commodities may be oil.
From this chart we conclude that oil will beat anything SPX + Gold might throw at it.
Perhaps Buffett was right after all, when he called for investing into oil.
Finally, a couple of charts for these eternal Gold Bulls...
Tread lightly, for this is hallowed ground.
-Father Grigori
P.S. Be lie ve it or not, this is a serious idea. Many hate equity bulls, just like they hate gold bears. Some charts do suggest bullishness for equities. Either we trust the analysis or we dictate it.
XAUUSD-07/03/2023Preferred direction: BUY
Comment: Since writing the last metal idea (on Friday), buyers have been able to overcome the 1912 level, as we expected, and as we needed to fulfill the buy condition. Now, one of the best setups is located at the level of 1920, where one can place a pending buy order. The price area near this level will make nervous a large proportion of sellers, who will close their positions. Long potential is located at the level of 1938.915, that is very important in the medium term for buyers.
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$TNX looks interesting on the Weekly ChartThe consensus is LOWER #interestrates
(I mean, they have been around 3.2ish)
Every time the 10Yr #yield was in this same situation it FOLDED.
Easier to see on daily.
However, something looks lil different this time around.
Can't make it out on the daily.
Let's see the weekly chart.
Hmmm...
Not yet, but gaining momentum...
If the 10 Yr yield starts pumping this could be good for $DXY.
Likely mean the inverse for precious metals like #Silver & #Gold.
#stocks #crypto
TUDTudor Gold has reached my price projection zone for bottom of current wave structure but not quite to the time target yet . I'm thinking it could touch the daily gap in the next week or so . Anyway i've began adding shares at these levels . Tudor is one of the biggest players in the Golden Triangle area of BC .
tudor-gold.com
XAUUSD-06/30/2023Preferred direction: BUY
Comment: A potential BUY-position can be considered for GOLD if the price closes above the level of 1912. This level has a local significance, since it was from it that buyers were forced to exit the market and the price failed by 1893. The target in case of a purchase is at the level of 1938.915.
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$TNX in range and a comparison of Yields around 2008#Yield is moving well today.
1Yr is bouncing back better than 2 and 10Yr.
$TNX is not bouncing as much but has not sold off as much as the others. The 10Yr is trading between 3.80 - 4.08.
Did we see the top in short term #yields a few days ago?
10Yr on the other hand did not break the most recent high. Interesting to say the least.
The last picture shows the highs of the 2 yr and 10 yr right before the crash of 2008.
Interesting that almost everything happened in the month of June. Even when it was 3 different years! Hmmm.
***
Now let's compare what yields did around the 2008 crash.
***
The 2yr yield peaked @ 5.28% and it did it much earlier. It was almost 2 years before the 10Yr yield did. The 2yr also formed a lower higher in 2007 (5.13%) & peaked in June 2008, much lower @ 3%, before the real crash happened.
The 10yr didn't peak until June 2008. way after short term rates peaked. We also see that the peak was around 4.3%.
Stocks peaked in Oct 07 and the lower high was May 2008.
***
We are seeing something similar today. However, IMO everything happens faster today. We're keeping a close eye on lower highs in short term yields and we could be seeing this now. Time will tell.
This data is just like other data. Just past info to help weather the current & future storms.
UKOIL (BRENT)-06/29/2023Preferred direction: BUY
Comment: Oil has been trading in the range of 72.36 - 77.39. The most pleasant entry points are certainly located at the extremes, however, the current price attracts those formed by accumulation. Accumulated selling can well push the price up to the level of 76.30.
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Stubborn MarketsThe markets simply refuse to give up. The birds are speaking to them, but nobody listens.
Gold, still living inside a massive bearish wedge pattern, is almost ready to print a death cross.
The 1M, 2M and 3M timeframes print a similar picture.
The 2M chart is beginning to give in. Volatility between MAs is keeping these still glued together, unable to figure out the next move.
Either the best Golden Cross prints or the worst Death is soon to come.
Markets are weird. I always found incredibly interesting the period before the .com bubble.
Equities had just printed a death cross. After the post-1988 prolonged weakness, all support seemed to have been lost. Instead, the markets boomed.
It is at these extremes when the good and bad stuff happens.
I am getting annoyed from all the birds speaking, many of them bullish on gold, others bullish on equities.
The Gold Bird
Everybody wants to keep this fella alive!
The SPX Bird
Everybody wants to kill this poor fella!
With both birds SCREAMING, we cannot reach conclusions.
Gold Bulls are buying into their ultimate doom.
SPX Bears are selling into one of the most powerful bull runs we have witnessed.
It is the duel between them that will clear the picture.
Honestly, it looks like a Gold Cross is about to shape for equities, not for Gold!
Gold may instead take the black death-ish color.
Again, Buffett may be right after all... Japan + Oil = love-4-many-years
US Yield Rates show significant signs of strength.
The end of the 2nd Big Tech bubble is right around the corner...
Bird might be Peter's word. Don't be like Peter.
Remember: Trend is the trader's word.
(DXY) collapse of the US dollar?DXY is at a critical point right now at the end of May, The fact the United States is continuing to print cash non-stop and the fact our economy is slowly dying due to Cov-19, I believe the DXY is about to go on a harsh downtrend and maybe even revisit 2008 lows drastically affecting the strength of the USD and the economy as a whole. For sure gold and silver will be the safest bets for this upcoming crisis but how would Stocks and Crypto be affected by the result of the US dollar becoming weaker, and how can an average investor profit off this major event?
(Everything down below are for educational purposes only nothing i say is financial advice)
Stocks:
Overall most stocks will have a-lot of selling pressure and will most likely will continue to bleed intill the economy recovers
Gold and Silver:
Simple, When the dollar gets weaker gold and silver goes up thats why i its smart to have a good amount of savings into silver and gold assets so that you can maintain and grow your wealth during a crisis.
Cryptocurrency:
This is where a-lot of investors are divided and disagree about the future of Cryptocurrency. One half believe's that its the future and the market has huge potential while the other half believe's that most Cryptocurrency's are scams/Ponzi schemes and its not a real asset. in my opinion if the DXY does continue to go on a downtrend it will cause more buying pressure for Cryptocurrency's because of the fact nobody smart wants to hold cash if the value is decreasing rapidly over time. If your skeptical about Cryptocurrency 's I highly recommend you do research on both sides and then make your decision about the matter instead of just closing a blind eye too it.
Yields are beginning to push higher, not good for marketsYellow arrows show the #bank crisis.
Short term #yields are higher or at the same level.
They are showing signs of wanting to push higher again.
The 2Yr is lower & looks as if it's curling a bit higher.
The TVC:TNX or 10Yr is consistently lower & looks to be weakening.
Wall St may finally be listening to #Fed & more hikes coming.
XAUUSD-06/23/2023Preferred direction: Neutral
Comment: The sell-idea by 1900 is working out very well, and the approach to this level in the short term is highly likely. In the case of holding shorts, you should at least move to breakeven. For longs - you can gradually gain, or wait for the approach to 1900 and buy more aggressively.
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$DXY bouncing, as called. Other assets selling off, sans BTCThe US #Dollar looked like it was done selling off, @ least for now.
TVC:DXY has been pumping since the call we made on the 17th, Sat night.
The 4Hr looks like it may still have some more leg room. Likely pump a lil more.
Unless there's a change, #gold may sell off more from these levels.
Heavy selling in #silver as well.
#BTC holding, but it did fall more than the others. It is a higher volatility name.
#crypto
$DXY, Dollar, strength has been weakening for some time now,TVC:DXY has been weaker since our last call, cratering even
Lower highs since peak of Sept last year
Lower highs in recent trend since Nov 2023
Relative Strength breaking lower
AMEX:UUP also shows this as well
(The following is not seen here, sorry, pls check profile for more info)
Weekly TVC:DXY shows the weakness clearer
RSI hasn't been able to break past 50 (middle area)
This is the LONGEST US #Dollar has taken to break under the breakout area (blue arrows)
Historically, RSI @ these levels has stopped rallies
At the very least temporarily
Yields diverging, Yield Curve over? Bad news for stocks soon?We made a call that bond #yields were topping in early June
6M has cratered since then
1Yr sold off, bounced, pulling back again
2Yr & 10Yr TVC:TNX we stated likely topped long ago
HOWEVER, we recently stated that they looked stronger than the SHORT term #bonds
INTERESTING INDEED
#Yieldcurve coming to an end?
It's about POWER, not regulation, $BTC still in pattern!!!Haven't seen 1 account speak on what we've said for about 2 years now, in reference to gov & #CBDC and them not liking competition
NOT 1
Many #CEXs have asked for guidance & what have they received? NOTHING!
This is NOT about #crypto protection!
This is about CONTROL!
#DEX #BTC #GOLD #SILVER
ANYWAY
CRYPTOCAP:BTC still looks good.
Pattern we highlighted some time ago is STILL in PLACE.
Picked some #BTC up after hours last night.
Check the BUYS on 4Hr chart.
Shorts were not heavy so this is outright BUYING!
#Bitcoin still looks good imo!
#crypto
$DXY pumped as we called it, now what?Been away so didn't make calls on #yields after the expected run.
We called them going higher & stated same for the US $$$.
Now what?
#DXY still clawing higher
Although US #dollar is oversold it looks like it wants to keep going a bit more
#GOLD also moving higher
#Silver looks as if it wants to reverse as well
CRYPTOCAP:BTC moved but giving some back
#Commodities