Good morning from CFT (our video is out!)
Bitcoin: We left you last week with two scenarios we were looking at. In front of us, we were looking for a « b » wave up in the red before another selloff. That definitely is still on board and looks much higher likely, then probably this morning, but our indicators are not giving a sell yet. So there is still a possibility of our second count, which was looking for still higher in the green wave « 5 », and what we would be doing now is just another minor « 1-2 », and we’re still going to subdivide higher. So, and that would take us up to probably, you know, the $60,000 level. So those are still our two scenarios; indicators are just a little bit above neutral, so we are not sure which one has a higher probability, so we are watching both.
U.S. stocks, we have talked about being a little bit bearish, our indicators did get friendly, but we are not really bouncing here. This is not a good time frame in the next few months to be long U.S. stocks, so we are a little hesitant to do any buying, and really we are on the sidelines.
The dollar, we are looking for it to roll over; it is higher today but hasn’t changed what we think is a negative chart pattern. We’re still leaning that we will get a breakdown below 89 and might want to put on shorts in the next few days. Our indicators did get friendly on here, oversold a few days ago, which was leading to today’s rally, but again we are still on the sidelines.
XAU, we were looking for it to test the « spring », it is breaking that today, which puts us back on the sidelines, with no opinion at the moment.
Have a good weekend, and thank you!
CFT Team!