Last week’s email was straight alpha (see below)
Energy vs tech is the pair trade to watch. If the market is strong, QQQ>XLE
If tech and the market rally then watch the USD, commodities and energy fall.
We like: TTWO, KWEB, LQD, QQQ over XLE, market cap over equal weighted, short USD & commodities. (look at dispersion below)
Now:
This equity rally can persist ( S&P 4000 again).
Don’t chase, you should’ve bought 2 weeks ago.
Sam Bankman-Fried, Elon Musk and Jack Dorsey will bailout crypto.
The weakness in yields crude and copper shows we entered into the demand destruction phase.
The MOST important chart to survive this market. Study.
CD yields will be close to 5% before you know it. Great
Copper is really weak, showing continued demand destruction.
They are already positioned.
Correlations at 1 have made it tough. But KWEB isn’t listed
Crack spreads are showing a supply shortage in refined products, not in crude.
Don’t regurgitate news you hear like a bird. The XLE topped 2 weeks ago along with those “great dividend ETFs”. Down >20%
Crypto: Sam Bankman-Fried of FTX.
Return always wants its risk payment. NOT INVESTMENT ADVICE