| We mentioned USDJPY which had pulled back was in a falling wedge and expect Dollar dominance to return to some degree both in the debt markets (US10Y) ie yields to go up and debt values to go down again and the Yen to continue its extreme weakness. US indices, despite having a rally during the pause in Dollar strength, we continue to be cautious to the downside. |
| USDJPY 8H breaks a falling wedge on continued weakness |
| The Federal Reserve is playing a game of talking out of both sides of its mouth – on one the one hand saying they may pause in September, and on the other side saying they remain hawkish and aggressive with regards to cutting down inflation. This duality which is done through different members of the Federal Reserve group sees markets react in a schizophrenic way to the upside on equities when they are dovish and to the downside when they are hawkish. Expect more of this duality on an ongoing basis but the “fear trade” is the dominant trade theme for us. Our YouTube video goes into further depth: |
| What’s going on in cryptos? Bitcoin, after an extended, major macro spill and pausing at the 29-30K level finally got a bump and a bit of a run but on light volume. This is almost a small degree of a relief rally given how far and how hard Bitcoin and Alts have fallen just prior to that. Our “house view,” is to avoid being the first 5% in any bull move with the possibility that further hawkish statements could come out of the Fed and inflation staying stubbornly high with strong oil currently at USD115 (WTI) the likelihood is that inflation is going to remain a major bugbear and even if Central Banks are remiss and very far behind the curve, they’ve got to keep talking and to some degree playing a game of restraining inflation from being a runaway event. BTCUSD W small relief rally at the 29-30K level |
| Join us as we analyse this and more on Live Trading Day this Friday, where we’ll look at all the key leading indicators from junk debt, debt markets, indices, individual equities in the Traditional Markets Session including the strength of the Dollar versus the currencies. Then we’ll do a deep dive on what’s next for Bitcoin, Ethereum and the major Alts in our Crypto Session |
| Join our Live Trading Day, this Friday to see how the HVF Method can work for you. Our Live Trading Day consists of one traditional markets session (90 minutes) where we will analyse the incoming Non Farm Payroll numbers and one Crypto Markets session (90 minutes) where we will analyse the next Bitcoin movement and the current state of Altcoins.This Friday at 11:30 – 15:00 UTC+0All attendees will receive a recording of the eventClick here to reserve your spot: |
Warm wishes,Francis & The Market Sniper Team |