Common Sense for Uncommon Markets
By Bill Taylor, CEO / Digital Wealth News and AI & Finance
DISCLAIMER: The opinions expressed below are my own & do not represent those of DWN or any affiliates. Any financial advice included here is for entertainment purposes only.
Bullish for week of 9/24/24
Neutral for the week of 9/24/24
GOLD [ S&P 500 [ BTC [ ETH
Bearish for week of 9/24/24
9/24/24 Closing Prices :
BTC: $63,903.13 | +5.9% | (Tue-Tue)
ETH: $2,642.68 | +12.4% | (Tue-Tue)
Gold: $2,634| +3.7% | (Tue-Tue)
S&P 500: 5,732.93| +1.9% | (Tue-Tue)
There are BULL MARKETS………..there are BEAR MARKETS………..and NAPPING MARKETS. What does that mean? When financial markets are drifting and doing nothing……take a nap. Which is what we have now and I can sense a nap coming on.
Ah, but first…
I will reiterate; This is a very dangerous time to be fully invested in the financial markets. Especially equities. With the end of the third quarter only a few days away, a look forward to the year’s final quarter is a must. Yes, October can be very VERY cruel. It’s a time to manage risk and get a good grip on reality and market expectations.
I know, I know. The financial markets are sitting at all time highs. Equities especially. That’s the problem. The S&P 500 has had a great year (so far). The Fed has eased interest rates (why, is a great debate – see my republished column for this week on this very topic here). Valuations are historically high. Bullishness and complacency are certainly elevated. This is scary. Gold and bitcoin (safe havens) are moving higher (why?). “Soft landing” expectations are……misguided. And, here comes October.
So, let’s ask a few questions. Who will win the election and be the next U.S. President? Straight up…….nobody knows for sure. What policies will be enacted and what effect on the economy? Again, nobody knows for sure. Will there be a full scale war in the Mideast (like there isn’t one now)? China recession? Better yet, who is running the U.S government? Frankly….NO ONE KNOWS. And all that is only the beginning.
So, institutions, funds and individual investors have very nice profits (so far) this year. Why, why why with all the HUGE uncertainties would you want to go into the last of the year without taking some money off the table? Answer: Greed. Complacency. Delusion.
Again, I know. All those silly uncertainties don’t mean anything. Stocks and financial markets only go up. Uh huh!
To be sure, the S&P 500, gold, bitcoin and ETH all had a nice week. Happy for them.
Label me silly, but I am currently neutral on the S&P 500, ETH and just slightly long bitcoin and gold. I am expecting some expected (and unexpected) very bad things.
IF EVERYTHING IS SO GOOD WHY ARE STIMULUS PROGRAMS (CHINA FOR ONE) BEING ENACTED AND CENTRAL BANKS CUTTING INTEREST RATES?
MARKET TOPS DON’T HAPPEN WHEN EVERYONE IS BEARISH.
2024 TARGETS:
- BITCOIN 2024……..????????
- ETH 2024…………???????????????
- GOLD 2024……….??????????
- S&P 500 2024……..??????????
Current trading positions:
- NEUTRAL BITCOIN
- NEUTRAL ETH
- NEUTRAL GOLD
- NEUTRAL S&P 500
We compare the price of Bitcoin, Ethereum, Gold & the S&P 500. We use the CME Bitcoin Indexes (BRR & BRTI) and the CME Ethereum Indexes (ETH_RR_USD) & (ETH_RTI_USD) for reference as well as the London Bullion Market afternoon price settlement on the digital assets & gold.
Bill Taylor is CEO of Digital Wealth News. He is widely published & quoted in financial media and an international expert on markets and BTC, ETH, Gold & SP500.
His opinions are solely his own and for informative purposes only.
