[video_player type=”embed” style=”1″ dimensions=”640×360″ width=”640″ height=”360″ align=”center” margin_top=”0″ margin_bottom=”20″ ipad_color=”black”][/video_player] The U.S. political landscape underwent a second earthquake in as many weeks as President Biden announced (by Tweet, no less) that he was ending his embattled candidacy for the Democratic nomination for the presidency. His campaign for the nomination, which was all but totally sewn-up, ended in a bit of a whimper as he shrugged off the rigors of the modern American electoral process. Biden endorsed Vice President Harris (who could be running the government while he’s sick with covid for all anyone knows) to replace him at the top of the 2024 Democratic ticket. You’d assume the degree of uncertainty surrounding one of the most important offices in the world would ignite turmoil in the market… “What are we going to do? Who’s going to lead?”… but it hasn’t. This “Atlas” – the President – shrugged, and the markets

[video_player type=”embed” style=”1″ dimensions=”640×360″ width=”640″ height=”360″ align=”center” margin_top=”0″ margin_bottom=”20″ ipad_color=”black”][/video_player] Stocks might have caught a break today if it weren’t for a disastrous CrowdStrike snafu that took down systems almost across the world. For the moment, though, the selling is still fairly concentrated in CRWD and a few other names out there. The bears are still making choppy, cyclical moves. The advance/decline line, which looked really good during the tech selloff earlier this week, and which I was worried might start to display correlation, still hasn’t done that. Volatility futures are up, but they’re not really rockin’ yet. Exits have been small and trade has been pretty orderly. But will it stay that way? Here’s what I see happening out there…

https://www.youtube.com/watch?v=tiyXkayO14s Look at a 24-hour chart of the S&P 500 ETF, SPY, and you’ll see clear gaps in the price action overnight. I’ll show you what I mean in a second, but bear with me.  Those happen precisely because of overnight activity; it’s not magic. If the market was open 24 hours a day… the gap wouldn’t be there.   This isn’t just some interesting sociological phenomenon – it’s an opportunity. In other words, you can make money here. Let me show you how…

[video_player type=”embed” style=”1″ dimensions=”640×360″ width=”640″ height=”360″ align=”center” margin_top=”0″ margin_bottom=”20″ ipad_color=”black”][/video_player] That eerie, everywhere-at-once sucking noise you hear when you go outside? That’s the sound of hundreds of billions of dollars in market cap leaving tech stocks. The selling we’ve seen today has been incredibly concentrated in the tech sector… and therein lies the risk. On a point-for-point basis, a drop of 541 on the NASDAQ is big, but still shy of that 3% mark. On top of that, we’re looking at a 71-point move to the downside on the S&P 500. Keep it in perspective, though: That’s barely a 1.25% drop. But, speaking of “eerie,” the S&P 100 advance/decline line is positive at 65/36. Sounds damn good on the surface, but the thing is, if selling persists, you could see the advance/decline line snap like a twig and then selling starts to spread out in the wider market. I’ll show

[video_player type=”embed” style=”1″ dimensions=”640×360″ width=”640″ height=”360″ align=”center” margin_top=”0″ margin_bottom=”20″ ipad_color=”black”][/video_player] It’s a bull market, alright… and our playbook has helped us to take full advantage. XBI, an ETF that tracks biotech, is up 8% in five sessions. The gold ETF, GLD, is up 3.5% in the same timeframe, while Bitcoin is up more than 13% in five days. The Dow Jones Industrials have come up 4.2% over the latest five-day, while the Russell 2000 index of U.S. small-caps is up nearly 11% – it’s having its best week in 24 years. These are all in play, enjoying a moment in the sun, and we’ve done a great job tapping into this. I’ll show you a chart in a moment that confirms the continuation of the bull trend, but I’m also seeing the first signs of a flight-to-safety unfolding. As someone who’s been bullish for several months now, I’m coming to

[video_player type=”embed” style=”1″ dimensions=”640×360″ width=”640″ height=”360″ align=”center” margin_top=”0″ margin_bottom=”20″ ipad_color=”black”][/video_player] This weekend’s assassination attempt on the former president, and distinctly downbeat vibes throughout the economy, make it worthwhile to consider… a gigantic bummer. Possibly. If you were contemplating a dystopian United States – a dystopian world, really – what would you invest in? Maybe one of the few online bastions of free speech? RUM and DJT were both bid today. What about a medium of exchange or store of value? Gasoline and muscle cars à la Mad Max? How about gold or Bitcoin? The yellow metal was up modestly today, but Bitcoin packed on nearly 5% during the trading day. The pathway to a dystopian future always needs a villain at the end of it. How about the rally in banks following Jerome Powell’s talk about rate cuts? First by inflation… then by deflation… Then again, maybe “Mad” Max Rockatansky

[video_player type=”embed” style=”1″ dimensions=”640×360″ width=”640″ height=”360″ align=”center” margin_top=”0″ margin_bottom=”20″ ipad_color=”black”][/video_player] You know, I don’t care if you’re fundamentally bullish about this market or bearish, you have to just take a step back in shock and awe and try and get a grip on the magnificent sell-side activity we got yesterday. And on a day when we saw relatively soft inflation data – pure catnip for Fedheads looking to cut rates. We got a full on, pants-#$%^ing tech beatdown. And it doesn’t matter because traders erased most of those losses today. “So what,” I can hear you say, “people will buy the dip… and the dip has been bought!” That’s true, in certain corners of the market, but the charts I’m going to share with you in a second underscore the true nature of the rotation going on right now. I’m going to show you some insane options volumes, too. You

[video_player type=”embed” style=”1″ dimensions=”640×360″ width=”640″ height=”360″ align=”center” margin_top=”0″ margin_bottom=”20″ ipad_color=”black”][/video_player] Markets go up and down every day. Sometimes that’s not really significant – just the ebb and flow of capital. On other days, though, there’s a real shift in key sectors. That’s what we got today. The tech-heavy NASDAQ had sunk more than 1.7% by 3:30 PM, whereas the broader S&P 500 had dropped just 0.7%. This tech selloff scared the pants of traders and sent them scrambling for safety. When fear rules the markets, players move into cash or rotate into defensive sectors like utility and healthcare. We saw that rotation happen in this session. But calling it a “rotation” doesn’t quite do it justice; this was more like a dramatic, desperate scramble. Previously “risk-on” sectors fell 3%, while defensive sectors rallied 3%. Again, this wasn’t so much a “shift” as a tectonic event. In a moment, we’ll look

[video_player type=”embed” style=”1″ dimensions=”640×360″ width=”640″ height=”360″ align=”center” margin_top=”0″ margin_bottom=”20″ ipad_color=”black”][/video_player] The bulls just cannot be beaten right now. It’s another day, another set of all-time highs. As I write this, I’m watching the market hit – bullseye! – the upper edge of its 56.33 expected move. And here’s the thing – tomorrow, we’ll get important CPI inflation data. Even better, we’ll be moving deeper into earnings, with two dozen or more “crush events” that could bring extremely profitable trades. Upside volatility is beginning to surge. The VIX isn’t exactly jumping, but it’s showing signs of life. Of course, this action is all brought to us courtesy of the usual suspects – that shouldn’t be a surprise to anyone.There’s nothing new about any of this. But I’ll take it… Let’s take a closer look at what’s going on here and what to do about it. Don talks in the video about

[video_player type=”embed” style=”1″ dimensions=”640×360″ width=”640″ height=”360″ align=”center” margin_top=”0″ margin_bottom=”20″ ipad_color=”black”][/video_player] Traders following along with us were able to bank some significant swing-trading profits on TSLA – around 26% in a week. To do that in a timeframe where the broader market has tacked on around 3% is no mean feat. That said, what’s coming around the corner – in an entirely different sector – could be much better. I still think our biotech-bullish thesis for this quarter is going to pay off immensely. I’m seeing some tremendous opportunities here that we’ll talk about in today’s video. These are already starting to move. And we’ll look at another big mover right now: precious metals. They still look good after Fed Chair Jerome Powell tried to talk down rate cuts today. Let’s dive in…