Welp, the madness is continuing full-blast, with ZeroHedge leading the way. It’s honestly jaw-dropping to glance at that formerly cynical publication, since it is slathered from wall to wall with optimism and doe-eyed zeal about the future. The entire world is going along with Tyler, however, as we vaulted higher on Sunday, camped out there all night long, and then got another big goose on the /ES just now.
Longer-term, we can see the small cap /RTY futures approaching their lifetime high as well.
The only, and I do mean the only, ray of sunshine in my morning is my position in GDX puts. I did a post on Friday morning called Fingering Miners which anticipated a reversal away from resistance in gold. On Sunday, gold eked out its last push higher, hit the horizontal (red circle below) and then plunged.
On a longer time scale, you can see how that H&S top is still doing its job. At least SOMETHING is working.
Alongside this, Bitcoin fell in the face of its unwanted Jim Cramer recommendation. The futures crossed the magical six-figure line for a millisecond on Friday, and it’s been rough sailing ever since. I must say, it is striking how much press Mr. Michael Saylor got over the weekend. A truly wise man would be petrified.
In any case, the bulls continue to ride their tanks directly upon the corpses over the bears on the battlefield. There is a rat-a-rat litany of reasons being promulgated by the press about why stocks are going to do nothing but go up. There’s Trump, Bessent, seasonality, and on and on it goes. At this point, the /ES analog has been bruised, and a push above its former high would make it utterly moot.
So that’s my grim morning greeting! I’ll be back later this morning for another look.
Fingered!
