One-off Friday flush isn’t a fluke
|S&P 500 wobbled on Boxing Day, and Friday was another telling move – ES reached farther than NDX did in retracing the Powell dump amid market breadth weakness that I kept complaining about last weeks already (some bearish divergences mentioned first, and then outright negative breadth indicators).
Bitcoin, crypto space, MSTR or COIN can‘t be viewed with bullish enthusiasm as regards the next move either. The Fed certainly knew what it was doing when setting a launch of reverse repo operations for Dec 30 as discussed in the extensive weekend video 7 days ago.
Let‘s review the charts, which do feature my best opinion on what is to unfold next in equities (what that means for gold, silver and oil, is reserved for clients) – enough to say that before Christmas I delivered for them intraday some nice dozen plus Russell 2000 short points in our channel. What the current sentiment and positioning implies for cryptos in the next few days, goes without saying...
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