Last Monday, /ES blew past 2550, the "trendline-in-the-sand", making an imminent retest of 2200 fairly unlikely.
However, a trend channel is being developed with multiple signs of rejection at the top of the channel, most recently from 2800 on Thursday.
Also note that the correlation of Bitcoin and equities has been extremely high since the start of this crisis....
The USD's status as a reserve currency comes back to bite the Fed once again. Widespread liquidity shortages in credit markets mean institutions, foreign central banks, and emerging markets with USD-denominated debt are selling everything that is not cash in a frenzy to raise USDs. Until recently, the Fed hadn't been able to keep pace with demand, resulting in...
Bitcoin remains in the downward trend started late 2019. The current rally doesn't appear to be building the momentum needed to carry it outside of the channel.
Recommendation: enter into short OR scale out of longs through 7000-7500 levels. If short, set stop loss at 8200. Take-profit at 5000-3500 levels.
From a fundamental perspective, COVID-19 infection rates...
