Week in Review (Feb.9 – Feb.15) & Looking Forward to (Feb.16 – Feb.22)

Week in Review (Feb.9 – Feb.15)

EquitiesContinued Fed Repos and testimony from Fed Chair J. Powell indicating that QE would get more aggressive and interest rates would go to zero or negative. With no volume or buyers, and CoV fears high as death tolls rise from the pandemic, the SP500 saw new all time highs although incrementally. New testing methods saw the infected rate double in a day, with markets not reacting. China pumped $10B+ in a day to prop up markets. It appears this is the new norm.

This price action across most of the major cap weighted tickers indicates that while there are not really any buyers, there are no sellers either. Recently Charlie Munger, the right hand of Warren Buffet at Berkshire Hathaway, said that he would not buy at current levels or short the market. This is the position I was feeling during this week.

Looking forward we will try to seek insulated trades from CoV in credit, banking, and technology sectors.

Crypto BTC broke $10,500 this week with GBTC breaking $13.

By the weekend, BTC breaking below $10K but looking to hold.

Sell Signal on Daily 2/15.

On a Weekly basis, BTC is still looking very strong. Bullish EMA cross and price above EMA’s signal 50%-100% gain over the next 3 months.

Level to watch for BTC is still $10,883 (1.618 Fib Level Retracement).

Level to watch for GBTC is $14.26 (higher gap fill). Or $10.70 for lower gap fill at pullback to add, or enter.


Looking Forward to (Feb.16 – Feb. 22)

EquitiesCoV deaths and news is continued to be suppressed. China is set to pump even more liquidity into markets to stop selloff. We will continue to watch FANG as it gets suppressed to enter a possible short term bullish trade.

Crypto Still watching $10,900 as exit for GBTC trade (1.618 Fib Extension). If we see price slowing and trend turn bearish on daily, we look to reduce GBTC position by half possibly and rebuy on 20-50 cent dip (or greater).

Next high after $10,900 is $13K.

Pullback level - watching $9,200 as BTC level for 0.618 Fib Level extension from possible $10,900 high. If we see a selloff or pullback at $10.9K, the $9200 level will be our possible re-entry.

Any material on this website represents Money Patterns’ intellectual property. No portion of this presentation may be published, reproduced, transmitted, or rebroadcast in any media in any form without the express written permission of Money Patterns LLC.

Our services and education products provide information from Money Trends LLC on trading stock and options.  Money Trades LLC does not trade in all of the ideas presented, and our trade ideas may not always be profitable. They could result in a loss of an entire investment. We cannot guarantee that you will make money or that you will be successful if you employ the insights presented.
All investments involve risk, and the past performance of a security, industry, sector, market, financial product, trading strategy, or individual’s trading does not guarantee future results or possible returns. Investors are fully responsible for any investment decisions they make. Such decisions should be based solely on an evaluation of their financial circumstances, investment objectives, risk tolerance, and liquidity needs.

The views and forecasts expressed in any materials on this website are as of the date indicated, are subject to change without notice, may not come to pass and do not represent a recommendation or offer of any particular security, strategy, or investment.
Money Patterns® is a registered trademark of Money Patterns LLC. 

©2020 Money Patterns

Proudly created with Wix.com