Good morning,
This wasn’t planned, but after almost exclusively looking at equity and fixed income markets in last week’s Playbook, and a currency focus in the most recent Overtime, what has my attention heading into this week is all the volatility (and potential opportunity) in “other” asset classes.
From the long side, commodities are top of mind. We’ve been on the higher oil train since before the lows, and last week’s breakout above $65 only adds to the conviction.
I’ve been more skeptical of precious metals recently, but after another “blow-off top”, gold is consolidating through time, not price. We’ll show the similarity to recent sideways consolidations that resolved higher, as well as other precious metals holding key support levels.
As for what looks more attractive on the short side, Bitcoin is consolidating in a tight flag below broken support at $74k. It’s been an important leading indicator for growth/tech stocks, and the base case should be that it resolves lower.
Finally, the private equity woes that we’ve been tracking since September aren’t getting better, and in fact, they’re starting to make headlines. We aren’t big on headlines, but for now, price is still confirming and leading the problems.
This week’s report will review:
Key levels to watch amid Nvidia’s earnings
How the index has managed to hold up
Oil and energy stocks
Precious metals
Crypto
Private equity problems
Rates and the dollar
and more!
