Markets
Evolving Market Leadership, Bitcoin in Trouble: Market Takeaways
Yahoo Finance Jared Blikre joins Asking for a Trend to break down its key takeaways from the trading day.
Blikre explains that the stock market leadership is constantly changing. While the technology sector and megacaps are leading, energy has been gaining ground, with crude oil hovering above $80 a barrel. The financial and staples sectors are also on the rise, shaking up the market rankings.
Blikre also notes that July is historically a positive month for the Nasdaq (^IXIC). The first 10 days of the month typically see the index’s best performance, and this July couldn’t be any different.
Finally, bitcoin (BTC-USD) faces its cliff of Mount Gox. The legacy cryptocurrency exchange is expected to distribute 140,000 as part of its bankruptcy deal.
For more expert insights and the latest market action, click here to watch this full episode of Asking for a Trend.
This article was written by Mélanie Riehl
Video Transcript
The S and P 500 NASDAQ fell three days today as NVIDIA shares rebound.
Join me now with more on the train of the day.
The bottom line is that Yahoo is funding its own Jared Bli Jared.
Thanks, Josh.
Remove the top spot from the stock market.
It’s in full development at the moment.
We’ve seen the NASDAQ and the Dow Jones move all over the place.
Um, but we’ve seen a change in trend over the last few days, which has kind of reversed itself today.
So let me break it all down here.
Here’s the sector action for what we saw today.
Technology and communications services which are meta and alphabet and XL C. They were number one, it’s the mega-cap market which is doing very well.
We’ve known this for a few years, but in the last seven days or so, we’ve seen other sectors really come to the forefront.
And here on seven days, we see energy, crude oil weighing above $80 a barrel.
There’s still some XL C around.
So still in the mix, but there are also financials and basic goods.
So a different mix at the top.
And then here we have real estate, which is down 1.8%, but not benefiting too much.
Um, but overall it’s kind of a change in leadership and we can see that with software now, even software is going under the hood, you even see the other sectors and sub-sectors.
Jared.
Yeah.
And I think the biggest advantage of software is software.
You know, people think of technology as a monolith, but you have software and you have chip inventory, you have other things too, but software doesn’t work well.
But I want to show you this chart here.
Um, this is an intraday chart that looks surprisingly similar to the five year chart, it’s just a coincidence, but we currently have software that forms a cup and a handle.
The story continues
This is a handle that has not yet broken upwards.
But if and when he’s careful, all the right levels to watch out for.
Second point.
Yes.
Well, the second point concerns the month of July.
We talked about this last week.
So I received this painting plus another one.
This is the new table.
It’s July, only 20 years ago on the NASDAQ.
So each of them is July.
Only.
What you can see is 10 of the last 11 years have been positive there and it’s incredible.
So we wonder if we are going to be pro-profit?
From all this month of July.
Well, guess what, uh, these are the first 10 days of the last 10 days of each month and what we’ve shown is a chart that we looked at last week.
July here, the first 10 days of July are the best of the year.
So we might see, you know, another big pop in July, let’s say Jared June, let’s say we sail into July.
RIGHT?
Does this change the way you think about what might happen?
It’s, I’m sorry, cruise through July, you know, it changes the way the seasonality picture looks here.
Well, it’s interesting because we saw a recovery in this mega-cap trade today.
I think if we saw outsized returns over the next few days through the end of the month, it would taper off.
We could therefore consider that this advances part of this demand.
So maybe July won’t happen if we end June with a bank.
But you know, if we go sideways over the next few days, I’ll still be looking for that July pop.
All right.
Take away, Jared Bitcoin.
Bitcoin faces its Mount Gox cliff.
And for those of you who remember Bitcoin 10 years ago, Mount Gox was the largest cryptocurrency exchange doing 70% of all global volume and it crashed, it actually was hacked, they lost something like 750,000 Bitcoins.
Guess what?
There are between 100 and 40,000, they must be distributed by a trustee in Japan because that’s where the company was based.
Once 100 and 40,000 Bitcoins, 9 billion dollars.
If they all hit the market at once, you could imagine the deluge of sales that would occur.
They fear sales pressure.
Yeah.
Uh, pull up the technical details, give me the, the Jared, take out the Bitcoin when the charts tell you to right now.
Now we speak my language here.
There you go, here is Bitcoin.
You can see it’s down 4.6% from the trill.
Seven days, up 4.5% today.
You know, things have been tough the last few days, but they’ve bounced back.
There’s also Monk Cliff, Germany was selling Bitcoin that was confiscated there, you know, in crypto you never know the whole story, right?
But here’s the five-year chart and here’s what I want to show you.
Here’s another cup, here’s another handle.
It’s a higher level, higher than this.
But we’re still signaling here, waiting to break out until this range is crossed.
It does not mean anything.
Alright, that’s what to watch out for, Jared.
Thank you my friend.