Hello from CFT (our video is out!),
We’ve got the 4 hour Bitcoin in front of us.
Last week we were looking for further correction; we were up there around $57,000. We did come down to almost $50,000 yesterday, and at that point, our indicators had been friendly on Bitcoin, so the preferred count is definitely a triangle. So on the way down, our ALGO was short from $56,300, covered/took profit at $52,300, and actually went long a little bit ago at $53,200, basically the current price. Our spot positions are also long with Ethereum and Bitcoin. So, we are now looking for a higher and a wave rally in this D triangle, and as mentioned, our Wyckoff indicators got friendly at the lows, and we expect them to help us rally up into this wave D high.
If we go to U.S. stocks,
in U.S. stocks, as you know, we have been bearish, yesterday once again; our Wyckoff indicators got bullish on stocks, so we did go long a few stocks, and we covered our shorts on the S&P. So we’ve got a rally today, and we are still looking for higher.
We thought maybe new highs in the S&P and the Dow, and a recovery bounce in the Nasdaq. Then at that point, we were looking for a sell to have lower prices on U.S. stocks still.
If we go to the U.S. dollar,
last week we were around 92.10, and we had said we looked for higher prices, and we have gotten that. Indicators are still a little friendly, so we think it presses a little bit higher before we exit our long positions.
In the same light, we are still short the precious metals,
We’ve had a nice selloff in the last week, we were hoping for another new low below 128, and then we will cover our shorts in the metals.
PS:
That is a very bearish Elliott Wave Roadmap for stocks.
Our signals are very good looking out 1-3 months so we will follow them religiously short term to guide us. But we do believe there is a large correction incoming to correct the large advance from March of last year.
If that played out in stocks, then we believe Bitcoin would have a very large correction as well.
Have a good weekend! Thank You
CFT Team!