WCN Episode Summary: "The Trade 3" (2016-03-13)
This episode provided a comprehensive, yet cautious, market review covering macroeconomics, major commodities, and cryptocurrencies.
Main Topics:
* Macroeconomics & Equities: Discussion of the US economy's shift from deflation to inflation, noted by the rising 10-year yield. While bullish indicators (McClellan, Nasdaq oscillators) were observed, the S&P 500 was cautioned regarding a major resistance level.
* Forex & Altcoins: Analysis suggested Ethereum was highly extended and prone to mean reversion. The US dollar's movement was linked to global central bank coordination efforts (ECB).
* Commodities & Crypto: A bearish outlook was presented for several assets, including the Euro, Gold, and Oil, all predicted to face downturns. For crypto, Bitcoin was expected to consolidate, while Namecoin showed breakout strength.
* Market Caution: Overall, the segment stressed extreme caution due to major upcoming announcements from the Bank of Japan (BOJ) and the Federal Reserve (Fed).
Key Quotes:
* The Euro is "done."
* Ethereum's price is highly extended and may regress to the mean.
* Upcoming news from the BOJ and the Fed will be crucial in determining the market's direction.
People Mentioned:
Tone Veys, George Semannick, Draghi (ECB), BOJ, Fed.
Bitcoin Price:
Not mentioned.
Summary:
The episode offered a multi-faceted market analysis, advising caution across board due to pending announcements from the BOJ and the Fed. Macroeconomically, the discussion noted signs of a shift from deflation to inflation, though the S&P 500 faced significant resistance.
In crypto and commodities, the outlook was mixed. The speaker was bearish on the Euro, Gold, and Oil, predicting declines for all three. Bitcoin was expected to consolidate, while Namecoin showed breakout strength. For altcoins, Ethereum was flagged as highly extended and potentially due for a mean reversion.
Forex movements were tied to global coordination efforts, particularly involving the ECB. Overall, the segment emphasized that while certain indicators were bullish, major upcoming central bank news would dictate the market's immediate direction.