Highway To The Resistance Zone
In the midst of the potpourri of confusion that seems to be a constant fixture in today's market, let's simplify where we are to the Nth degree: The support and price acceleration areas of yesteryear (2020-2021) have turned into the resistance and price deceleration areas of today (May 26th, 2022). This is a big problem for the markets until it tells us otherwise. A move to 4100 was expected as outlined this past weekend's edition Turning Points: Simplicity reigns supreme during the most confusing of periods. Simplicity in the current circumstance is selling the rallies until the market tells us otherwise. Disclaimer This website is for informational purposes only and does not constitute a complete description of our investment advisory services. No information contained on this website constitutes investment advice. This website should not be considered a solicitation, offer or recommendation for the purchase or sale of any securities or other financial products and services discussed herein. Viewers of this website will not be considered clients of T11 Capital Management LLC just by virtue of access to this website. T11 Capital Management LLC only conducts business in jurisdictions where licensed, registered, or where an applicable registration exemption or exclusion exists. Information contained herein is not intended for persons in any jurisdiction where such distribution or use would be contrary to the laws or regulations of that jurisdiction, or which would subject T11 Capital Management LLC to any unintended registration requirements. Visitors to this site should not construe any discussion or information contained herein as personalized advice from T11 Capital Management LLC. Visitors should discuss the personal applicability of the specific products, services, strategies, or issues posted herein with a professional advisor of his or her choosing. Information throughout this site, whether stock quotes, charts, articles, or any other statement or statements regarding capital markets or other financial information, is obtained from sources which we, and our suppliers believe reliable, but we do not warrant or guarantee the timeliness or accuracy of this information. Neither our information providers nor we shall be liable for any errors or inaccuracies, regardless of cause, or the lack of timeliness of, or for any delay or interruption in, the transmission thereof to the user. With respect to information regarding financial performance, nothing on this website should be interpreted as a statement or implication that past results are an indication of future performance. ...
Well, Hello Stranger….
It has been a little over a year since Zenolytics last put out a public note. That note titled, It's Time For Investors To Go All-In On Growth Stocks, was published in March of 2021 right near the lows for the year on the Nasdaq around 13,000. As we all know by now, the Nasdaq would keep moving up from that March low, right up to the November high that so many investors wish they could have back to resurrect their portfolios to some semblance of its previous glory. Unfortunately, Jay Gatsby is not a potent role model for investors, as no matter how much you can hope to repeat the past, one can only learn from it, apply those lessons and move on. While there has been a public absence, in private, the Zenolytics Turning Points weekly note is getting close to its 300th edition, which is actually quite shocking to me. The membership base at Zenolytics consists of both institutional and retail investors who gain value out of a vast majority of the analysis I send out on a weekly basis. I say a "vast majority" because the markets have become infinitely more difficult on a micro basis. Just like everybody else, Zenolytics will have its great calls, good calls, bad calls and downright terrible calls. It's really easy in the current environment to get a lot wrong. And even more poignant is the fact that the market will let you know how wrong you are extremely quickly when conditions are bearish. You can literally lose everything overnight, as we recently learned with our crypto position in Terra Luna. A position, by the way, that at one point showed a 10x plus gain. That story is far from over, however. The nuances are endless. The opportunities for the reemergence of the chain are real after the bearish sentiment becomes a little less amplified, you can say. In the meantime, the markets are slated to get much more difficult than most are expecting. Over the intermediate to long-term, there will come a buying opportunity, at some point in the distant future, that will be historic in scope. However, prior to that opportunity becoming apparent to most, there will more than likely be devastation on a scale not seen since the 2000-2002 bear market market in growth. The point here is not that you must, as investors, participate in the downside that is to come in order to capture the inevitable bottom of this market tirade. The point is that you, as investors, better be damn sure that you have some capital in reserves prepared to capture the historic...