The Great China Upgrade.
gmgresearch.substack.com
Dollar strength = stalling US equities
US equities are overbought in the short-term (>90% of S&P500 is above 50ma).
But, if US equities continue to rally, expect a selloff in Energy to fuel it.
Market books are dry & you have a bunch of dopamine starved degenerates…
Echo bubbles can emerge from anywhere. (Bitcoin, Doge)
If oil plunges, OPEC will step in and cut more. Energy trend is still there.
Expect China to outperform
What to watch:
China, Platinum, Sugar, USD, GSG, HYG
The only pair to focus on.
% of S&P above 50ma is one of the best broad indicators. Now it is too extended to the upside. Free alpha
China is lifting lock-downs: Morgan Stanely already upgraded them tonight at 9:22pm EST. Get ahead of the herd.
The dollar topped in our email on Oct 2nd.
VIX curve plunged into contango. It is too steep and too cheap.
It’s rumored that when FTX didnt have banking, Silvergate was used to wire “outside capital” to Alemeda research, which was then credited on the FTX side. Watch out below…
Return always wants its risk payment. NOT INVESTMENT ADVICE.