Every time we have had a bearish engulfing candle on the weekly chart it has been a big sell signal.
The question is the ATH in for stocks?
Futures market has 100% priced in a rate cut which was signaled in January from the FED and now its coming on the 31st July. And the market is selling off! If the FED is cutting rates when we have an unprecedented economic expansion phase in the US it shows us there is something wrong. I think the probability of upwards moves from here is very low.
Sell stocks and buy gold/BTC. The debt problem is about to explode! MOVE YOUR SUPER!!
Unfortunately we were ready to squeeze higher, however, certain information came from the Feds and Trump continues to create uncertainty amongst trade in order to allow for future rate cuts as that seems to be his primary goal.
I've been thinking a run for Gold and BTC from over a month ago timed out from July 29-30. Gold and BTC are definite solid longs and Silver still needs to catch up to the Gold/Silver ratio and push it down to at-least 75:1 instead of 87-88:1.
We likely re-test at the very least ~2911.
giltwenty
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@zSplit, Yep well I think the run is only just starting in BTC/GOLD. However i think in the next month or so we are unlikely to see major moves higher in btc/gold until we get further signals of cuts from the FED which is unlikely to happen until the back end of the year.
I believe there will be a 25bps cut for the US for July 31. Its almost set it stone at this point. If there was no cut (which I highly doubt), that will lead to a sharp correction and would probably lead to Gold rising anyways. The ECB in Europe also speaks this week and Mario has been very open to cutting rates should the situation warrant.
I can't see a situation where the ECB holds and the Federal Reserve drops or vice-versa, at this point. I imagine the ECB on Wednesday will be like the Federal Reserve was in his testimony to Congress and hint towards a rate cut in the next meeting.
I suspect Gold may tick up this week as the ECB touts rate cuts, and July 31 is becoming closer to present.
Unfortunately we were ready to squeeze higher, however, certain information came from the Feds and Trump continues to create uncertainty amongst trade in order to allow for future rate cuts as that seems to be his primary goal.
I've been thinking a run for Gold and BTC from over a month ago timed out from July 29-30. Gold and BTC are definite solid longs and Silver still needs to catch up to the Gold/Silver ratio and push it down to at-least 75:1 instead of 87-88:1.
We likely re-test at the very least ~2911.