Holiday Cheer Hides The Fear

Let’s Talk About Liquidity

The Givers & Takers of Market Liquidity:

• QUANT POSITIONING

• TREASURY SETTLEMENT

• BITCOIN CORRELATION

• HIGH BETA ROTATION

First, market is bouncing - perfectly I might add off that SPX 6532 target I gave you last week and days in advance ahead of Friday - and regardless if Nvidia beat. It fell perfectly into the 100D EMA target, along with so many other stocks, and as the 10Y yield fell on Fed rate cut expectations spiking to 75% from Williams’s comments.

Friday low was 6522, closing Friday at 6603, opening Monday at 6636 when this morning live I said it’s an easy bounce to SPX 6700 with overshoot to 6724, with VIX falling back into 20.57.

But that’s all intraday stuff. Now, let’s zoom out...