This is still the One Chart to Rule Them All right now:
The 100 level for the U.S. Dollar Index (DXY) still has my attention.
The “smart money” hated the U.S. Dollar coming into the year. And it got absolutely destroyed.
Now, things have changed. And I look for U.S. Dollar strength to continue.
This remains the most important chart in my book.
The U.S. Dollar is the asset that’s going to have the biggest impact on the direction of the overall market.
And if the dollar is above 100, then the risk is to the upside.
This Week in Everybody’s Wrong
On Monday, we visited some of my favorite frontier and emerging markets.
When Wall Street completely gives up on providing an investing vehicle for an asset class, it’s time to pay attention.
Here’s why delisting an ETF is a lot like the Magazine Cover Indicator.
On Tuesday, we talked about “miracle drugs” that let you sit on your fat ass and get skinnier – sure, what could go wrong?
Turns out a lot. But The Economist loves them…
Here’s why Eli Lilly (LLY) looks good for a short entry at these levels.
On Wednesday, we celebrated Coinbase Global (COIN) becoming the first-ever cryptocurrency firm to be included in the S&P 500 Index.
COIN rallied 24% and added $13 billion to its market cap in a single day.
Here’s more on why we’re happy we’re long this cryptocurrency play.
On Thursday, I came to you live from New Orleans, where I was meeting and sharing ideas with investors and traders.
Meanwhile, Goldman Sachs (GS) reverted to its “pre-Liberation Day base case” forecasts.
Here’s why we prefer to live “five minutes in the future” vs playing the Big Banks’ game.
On Friday, I shared more secrets I learned this week in New Orleans.
A lot of my friends are fundamentalists. And they help me spot good ideas.
Here’s why we’re tracking a derivative play on a small-cap ocean-floor miner.
On Saturday, I re-told a classic joke about technicians, fundamentalists, and falling knives.
It’s a good joke, an update on bad sentiment… and now the bond rating agencies are in on the act.
Here’s why when everybody thinks things are this bad it looks like “up” to me.
Have a great Sunday.
I’ll see you Monday morning…
Stay sharp,
JC Parets, CMT
Founder, TrendLabs