Good afternoon my friends. Well we don't hedge here! Look at the reports of last week. We said with the don't worry be happy crowd jumping in the equity market 700 points higher than today's 25,550 level we said another opportunity to get out! Furthermore we said IF you bought my recommendation at 24,500 in October to buy WITH TIGHT STOPS congrats....time to say goodbye. Sentiment and a simple chart shows the way every time.
AS I write sentiment is bullish enough here for a decent rally. DON'T BUY IT. Sentiment is now this: The public is trained now to accept "all is good". I don't sense the fear in the selloffs that I did earlier. If Trump did bot have enough trouble with tariffs that will not work, you are being told how rosie things are. The horizon is very dark.
I'll post again soon the six (minimum) reasons why equities are going much lower in 2019 and beyond. Have we seen the top at 26,996 in early October? The odds say yes although they may have enough ammo to run them up again but they (the manipulators) are out of ammo.
Gold is off again to about 1201! If there is good news I urge you again to go to www.321gold.com and read RON ROSEN. He has been a legend in the trade for about 50 years. I do believe we are headed for his 1124 target and rather soon and then it is off to the races. Conservative me WILL use leverage in the gold market if and when that target gets real close. I believe he is right in that we'll see 2000 gold by very early 2020. Sounds quite ludicrous doesn't it. See the chart of gold over 48 years. It won't be the first massive rally in short order. By the way Gold has performed well (thank you) in periods of rising interest rates as in the 70's.
Bitcoin at 6315 falling back from 6550 as I said it would last week. Tons of resistance at 6600 and with SENTIMENT at 84 percent bulls (IG of London client sentiment) dictates we don't rally. It is, in fact, amazing to me we are staying solidly above 6000. I want you opinions! I know what is going to drive gold much higher. What will drive BTC to much higher levels? Maybe the same scenario...fiat currency is in HUGE trouble..you have seen nothing yet. Hopefully some cryptos benefit from the dark clouds on the horizon. A major debt crisis is about here..CNN is not reporting it yet....
Please have a good and safe rest of your week and do YOUR 'due diligence'.
