Red Wave
America Goes to the Polls
Traders,
A solid day for traders both long and short as we got the build up to the s/r flip from the FOMC drop and were able to trade back to 3820 and 3800 to test supports. We were able to then rack up the handles from 3800 back to 3857. A solid day of trading the SPOOZ.
I am hoping that the Red Wave that is coming (its not official as of this post, but its looking that way) stifles the current spending problems of the current regime, and starts to chip away at inflation. The biggest borrower is the US Government, and being in a gridlocked Congress can actually only help the US Citizen and Global Economy for the next 1-2 years. I am not usually of that cloth, but in this inflationary period we need to reign in government spending, not just give away money to any one of our buddies who donates to our campaign. Not saying that the Reds don’t do that as well, but having a Democratic President and Red Congress will be at odds with each other and will be harder for policy makers to add an extreme amount of pork. This may be reflected positively on CPI Thursday. I do think it will come in high if not hot still, and may lead to a post-election sell off. More to come on that tomorrow.
Yikes! With Elon and Senior Mgmt. taking their W’s and cashing in on their success, it seems the darling of the stock market may be entering an accumulation phase here between $160-$200. Longer term players can see this $40 range as a value proposition for 5 years out. I expect TSLA to be a $800 stock in 5 years (if no more splits).
I am still a bagholder of my calls, but made up for a good amount of it today on SPX calls/puts. I will continue to chip away at them tomorrow.
DXY
It officially filled in the lower excess at 109.58 and is now looking to attack the excess at 107.67. I do expect this excess to happen possibly tomorrow with the Red Wave that is seemingly going to happen as the polls are starting to close on the West Coast. as long as we are under $109.58 bulls should be prepared for a nice day tomorrow.
Tomorrow’s Auction
