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 9/10/24
Neutral for the week of 9/10/24
GOLD
Bearish for week of 9/10/24
S&P 500 [ BTC [ ETH
9/10/24 Closing Prices :
BTC: $57,691.78 | -0.05% | (Tue-Tue)
ETH: $2,370.83 | -3.5% | (Tue-Tue)
Gold: $2,490| +1% | (Tue-Tue)
S&P 500: 5,495.52| -0.06% | (Tue-Tue)
Well, here we go. Summer’s in the rear view mirror and September is in full swing. It’s the last month of the third quarter. Everyone should be back to work and looking at the end of 2024 quickly coming in to view. Ready or not, it’s happening.
Last week (a shortened Labor Day week) saw a big decline in financial markets. Yesterday buyers returned from the holiday week and……bought. Alas, even with that ‘spurt’ financial (and crypto) markets are still lower. Tomorrow brings the eagerly(??) awaited CPI (consumer price index) with everyone expecting good news. So the Fed will ease rates later this month. Gosh, you think anybody is anticipating all that?
But, here’s a word of warning. You can’t trust ANY government numbers, including tomorrow’s CPI. Remember a couple weeks ago the Labor Dept. revised a years worth of payroll numbers DOWN by 880K jobs. Poof. Gone. Last Friday the same Labor Dept. said the economy added 142K jobs in August. I’ll take all bets that number will be revised lower next month. Don’t trust government numbers…..especially in an election year.
So, here are investors sitting on nice gains with markets drifting lower, elections (hopefully) coming up, a possible government shutdown later this month, incredible amounts of uncertainty, huge debt loads and extreme bullishness. What could possibly go wrong? Answer? A LOT.
Don’t be left standing without a chair when the music stops.
What to do?
BITCOIN and ETH. This is hard. I’ve been bullish and holding that position since 2016. BUT, who is left to buy? Both BTC and ETH have been for sale for quite a while now. Bulls are everywhere and it doesn’t help that Michael Saylor (Microstrategy) comes out and says BITCOIN goes to $13M. Could be, but not anytime soon. Short or neutral.
GOLD. I’ve gotta remain neutral. There might be a bit more upside but when markets go down GOLD will too…..just not as much. A real flight to safety would take GOLD much higher, but recession and corresponding stock market selling would take GOLD lower. That’s why I’m neutral.
S&P 500. We have seen glimpses of selling, but not the real selling…..yet. I am sticking with my call……S&P 500 down on the year. Obviously that means be short and use rallies for selling.
IT’S GOING TO BE A VERY ROUGH NEXT FEW MONTHS. BE CAREFUL.
2024 TARGETS:
- BITCOIN 2024……..????????
- ETH 2024…………???????????????
- GOLD 2024……….??????????
- S&P 500 2024……..??????????
Current trading positions:
- SHORT BITCOIN
- SHORT ETH
- NEUTRAL GOLD
- SHORT 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.
