What's Up With Crypto Regulation?

Posted on by Wayne Burritt

Bitcoin Selloff and Comeback was Regulation Driven

Unless you've been under a rock over the past couple of weeks, you know that Bitcoin (BTC) got hammered recently and then made a heck of a comeback. See for yourself...

Bitcoin Daily Chart - Cryptocurrency Regulation

Source

While volatility and fundamental factors are always at play, the big reason for the selloff was likely the China ban on crypto. Then the big reason for the comeback was likely the reassurance from U.S. regulators that they will not be following China's ban. Continue reading "What's Up With Crypto Regulation?" →

Crypto Market Cap Hits New All-Time High

Posted on by Aibek Burabayev

Digital enthusiasts should be happy as last week, the total crypto market capitalization established a new all-time high of $2.5 trillion, surpassing the previous top of $2.4 trillion reached this spring.

Crypto

It coincides with the current move in Bitcoin, which is approaching an all-time high. Is it the main coin that contributes the most to pumping the market cap? Let us check it in the next chart of the total crypto market cap excluding Bitcoin. Continue reading "Crypto Market Cap Hits New All-Time High" →

Weekly Stock Market Forecast

Posted on by The INO.com Team

This week we have a stock market forecast for the week of 10/17/21 from our friend Bo Yoder of the Market Forecasting Academy. Be sure to leave a comment and let us know what you think!

The S&P 500 (SPY)

SPY Weekly Chart - Stock Market Forecast

This week's rally conforms to my forecast nicely from last week.

Nothing has really changed; I still have a lot of bearish readings for the S&P 500, which conflict with the surge of bullish interest that is currently being absorbed.

I still expect the SPY to rally up to retest the all-time highs and break out to the upside. Unfortunately, that breakout would likely be on low momentum, and the odds are high; it will turn into a false breakout. This would set up a classic "Trap trade," as the breakout players all react emotionally to the failed breakout. Continue reading "Weekly Stock Market Forecast" →

Strong Start To Earnings Season Boosts Stocks

Posted on by The INO.com Team

Earnings season is off to a better-than-expected start for the third-quarter earnings reports, which in turn gave the DOW a boost to achieve its best weekly performance since June. Friday's move higher was strong enough to trigger a new green weekly Trade Triangle for the DOW, pushing the Chart Analysis Score to +100, indicating that the DOW is now in a strong uptrend. Friday's move also propelled the S&P 500 higher, triggering a new green weekly Trade Triangle, leaving the NASDAQ as the only index of the three in a sidelines position.

The DOW gained 382.20 points or +1.09% to close at 35,294.76. The S&P 500 added +0.75% to end the day at 4,471.37, and the NASDAQ rose +0.50% to finish at 14,897.34.

The three major indexes closed the week higher and are positive on the month. The DOW had a weekly gain of +1.58%, the S&P 500 +1.82%, and the NASDAQ outperformed with a weekly gain of +2.18%. Continue reading "Strong Start To Earnings Season Boosts Stocks" →

Market Swoon - Deploying Capital

Posted on by Noah Kiedrowski

Market Swoon

Inflation, interest rates, employment, Fed taper, pandemic backdrop, Washington wrangling, supply chain disruptions, slowing growth, and the seasonally weak period for stocks are all aggregating and resulting in the current market swoon. The month of September saw a 4.8% market drawdown, breaking a seven-month winning streak. The initial portion of October was met with heavy losses as well. Many individual stocks have reached correction territory, technically a 10% drop, while the Nasdaq is also closing in on that 10% correction level. Many high-quality names are selling at deep discounts of 10%-30% off their 52-week highs. The outlook for equities remains positive after the weak September as the economy continues to move past the pandemic. During these correction/near correction periods in the market, putting cash to work in high-quality long equity is a great way to capitalize on the market weakness for long-term investors. Absent of any systemic risk, there’s a lot of appealing entry points for many large-cap names. Don’t’ be too bearish or remiss and ignore this potential buying opportunity.

Deploying Capital

For any portfolio structure, having cash on hand is essential. This cash position provides investors with flexibility and agility when faced with market corrections. Cash enables investors to be opportunistic and capitalize on stocks that have sold off and become de-risked. Initiating new positions or dollar-cost averaging in these weak periods are great long-term drivers of portfolio appreciation. Many household names such as Starbucks (SBUX), UnitedHealth (UNH), Apple (AAPL), Amazon (AMZN), Micron (MU), Adobe (ADBE), Qualcomm (QCOM), 3M (MMM), Facebook (FB), Johnson and Johnson (JNJ), Mastercard (MA), Nike (NKE), PayPal (PYPL) and FedEx (FDX) are off 10%-30% from their 52-week highs. Even the broad market indices such as Dow Jones (DIA), S&P 500 (SPY), Nasdaq (QQQ), and the Russell 2000 (IWM) are significantly off their 52-week highs. All of these are examples of potentially buying opportunities via deploying some of the cash on hand. Continue reading "Market Swoon - Deploying Capital" →