Bitcoin Under Attack By Gold Bugs

As I predicted, there has been a new wave of bitcoin critics who are claiming bitcoin is like the tulip bubble in Holland in the 1600s. These critics who never liked or understood bitcoin have new ammo because the price fell quickly from about $1,100 to the mid-$800s in a couple days. Given that I…

Stocks Still A Bubble

The level of equity bullishness has been high since the election. From my perspective, it doesn’t matter how long it lasts; it’s still a bubble. Optimism is an emotion and tone of the market which can change. However, it doesn’t have to change after a specific length of time, so we could be waiting awhile.…

Bitcoin Falls Further

Friday was part two of the destruction in bitcoin prices as it fell nearly 11%. The price opened above $1,000 and fell to below $900. As I mentioned, before bitcoin started this volatile two-day period of trading, the price was overbought. It was common sense that the price couldn’t continue at that pace of increases.…

Dow Fails at 20,000 & Payrolls Data: More Of The Same

The Dow trying to hit 20,000 is like Shaquille O’Neal attempting free throws. Shaq was a great basketball player, but he wasn’t a great free throw shooter. The market is strong either way, but this milestone keeps failing to be reached. As you can see from the chart below, the Dow missed reaching 20,000 eight…

Fed Minutes & American Demographics

When the Fed raised rates in December, I explained it was because of the added inflation the Trump election brought and the anticipated stimulus package in 2017. The media and the Fed seemed to discount these factors to not appeal political. Those who disagreed with me said the Fed was going to raise rates after…

Bitcoin Falls Over 20%

In my article yesterday, I said bitcoin would hit an all-time high and then have a correction because it was overbought due to extreme speculation from China. It didn’t take long for that prognostication to come to fruition as bitcoin hit an all-time high on some exchanges before crashing 23%. The Coindesk website has an…

Inflation Rises To 1.7% In Germany

German inflation rose to 1.7% and European inflation increased to 1.1% in December. In a Reuters article, it was stated that these inflation numbers show the dovish ECB policies are working. Firstly, the inflation mainly came from energy. Therefore, OPEC takes more credit for the European inflation than the ECB. Secondly, the policy goal is…

Bitcoin Approaches New Record High

I said Bitcoin could get over $1,000 in January because of the intense momentum it has. The parabolic momentum has cascaded the price to near its record high. The current price is $1,103 and the all-time high was $1,242 set on November 29th, 2013. At one point today it was up about 18% year to…

Hope Springs Eternal (Optimism in the Markets)

I have been bearish on equities since late 2015 and remain so at the start of 2017. I’ve seen comments saying that I am issuing the same types of arguments that have kept people out of equities since the start of the bull market. My response is I was not bearish until late 2015 when…

Demonetization Hurts Indian Manufacturing

The Prime Minister of India, Modi, instituted a ban on the 1,000 and 500 rupee notes in November. He wanted to modernize the Indian economy and crack down on the money earned in the underground economy. This action was the wrong way to achieve those goals. The Indian economy can’t be modernized and become cashless…