We need to talk about SoundHound.

This setup was so nice that we bought the calls twice.

As it turns out, it was the right move. We sold the double yesterday.

But, we’ve got a lot of questions about this one along the way. And the truth is, nothing we did here was out of the ordinary. This sort of scenario will happen a lot with the Breakout Multiplier system, so it’s important we discuss it.

I put on trades that go to zero all the time. 

I am unaffected by these losers. In fact, when I see zeros stacking up, I get excited. I know I’m that much closer to a big winner. 

It’s a game of numbers. I’ve been doing this for a long time.

But the way I lose is even more blatant sometimes.

I will put on the same exact trade over and over again, until it works, or the setup is invalidated.

This almost always boils down to a matter of timing. When I find myself putting on the same...

I think it’s really important to own the junkiest stuff right now.

Risk appetite is improving across the board.

We’re seeing a growing list of speculative assets break out from consolidations.

I took a quick break from the Morning Show today to buy this textbook reversal in Dogecoin.

All things Elon are working. I think Tesla is a good buy here, too. 

As it turns out, $44B was an absolute steal for Twitter. He bought himself the best seat in the White House and will be laughing all the way to the bank for the next four years.

I also put another risk reversal on Coinbase and bought some short-dated calls in a beat-up Bitcoin miner this morning.

While I was doing this, Mike Antonelli was on the show telling JC how he’s seeing the same thing.

He used a chart of Discretionary vs Staples to make his point about healthy...

For the past several years, China has been uninvestable.

Then we got one of the most epic rallies in China’s stock market history…

And then we were so extended that it still felt uninvestable. But for a very different reason.

Earlier this month on the morning show, Spencer asked: “how do you even buy these stocks here?”

I understood his frustration. Sometimes, the best trends are the hardest to get into.

If you took a shot and bought China earlier this month, you’re already in a significant drawdown. 

If you have the right timeframe, I think you’ll be fine, but you never want to chase in these situations. After a momentum thrust, always expect a little backing and filling, or corrective action. And be prepared to pounce on it.

It...

Everything was working today.

US indexes all booked nice gains, with the Dow and S&P achieving another new all-time high.

There was a synchronized global rally led by China’s Shanghai and Shenzhen, both up over 2%.

Software, financials, industrials, General Electric, Nvidia, Goldman Sachs… 

They all had one thing in common to start the week: new highs.

But it was the crypto market, more than anything, that was giving me the risk-on feel.

Alts are waking up here. Our custom altcoin index was up over 6% today.

More importantly, it looks like Bitcoin is about to break out of this range we’ve all been waiting for.

Here’s how I know:

This is a triple-pane chart of the three premier crypto market equities. 

MicroStrategy, Robinhood, and Galaxy Digital have all been consistent leaders during this cycle. As such, I view them as preferred vehicles for expressing bullish bets on BTC and crypto.

They also offer a nice mix of crypto market exposure, with one acting as a juiced BTC fund,...

In bull markets, you gotta go for it. 

Tops fail, continuation patterns resolve higher, and a growing list of stocks complete reversals. This is what bull markets are made of.

It’s also what’s happening now. 

So, I’m looking to add exposure to the best setups.

Over the years, I’ve developed a system for this. It’s more of a portfolio sleeve than anything.

I call them kickers. I think of these trades like the cherry on top of a perfect carvel sundae. You don’t need it, but it makes it that much sweeter.

Let’s talk about what I’m talking about…

Robinhood completed a textbook trend reversal earlier this year. It hit a target or two, and then it started ranging.

In my long-term account, I’m longing common stock as soon as I see a valid reversal. This happened in February and is shown on the chart...

JC has been giving a special mastermind class on Technical Analysis, and last week he invited me on to discuss momentum thrusts and crossovers. You can watch it here.

We dove into a variety of topics, covering initiation vs exhaustion, thrust clusters, and even a conversation on the difference between MACD and PPO.

One of the points I hoped to drive home in this presentation was around how to know when a momentum thrust is significant. 

For me, momentum thrusts and breadth thrusts are exactly the same in this way. When they are notable, they are hard to miss. They come in spurts and clusters.

What do I mean by this?

Let’s use China as an example because I think we are witnessing a historic initiation phase right now.

A few weeks ago, Chinese stocks had their second-best day in history. 

Then, they had...

People tell me crazy shit on a regular basis.

As a market participant, I had to get used to this. 

My golf buddies have been promising me the end of the world for years now. Some of them even have special food for it.

My Florida man neighbor is absolutely convinced that Jerome Powell heads a top-secret underground society of the world’s wealthiest individuals.

This is the kind of crazy that pollutes my eardrums almost every day. I’m numb to it. I’m barely listening at this point.

But there is one word that really moves me. It always catches my attention. 

Uninvestable.

When they tell me something is uninvestable, I really perk up. It’s music to my ears.

I remember when crypto was uninvestable in the winter of 2022. Solana was in the single digits. It’s up like 1,300% since.

Who remembers the uninvestable stocks from last year?

2023 was a bad one for the banks. Bank runs. Contagion. Balance sheet problems. Government bailouts… 

“You can’t own these stocks!”

With stock market investors looking every which way at different market-moving headlines today, let's take a step back and talk about what's really important.

We just got monthly candles. It's time to zoom out. 

And when we do, is there a chart more important than the US Dollar Index $DXY right now?

The dollar has had a very strong inverse correlation with stocks and other risk assets for several years now.

Equities have done well for the past two years while the dollar has been rangebound. 

Just imagine how they'll do if DXY breaks down from its current range:

This is the question investors should be asking themselves right now.
 
Instead of worrying about the war in the Middle East or the longshoremen and dockworkers striking…
 
The real question that matters for all our portfolios, not just today but over longer timeframes, is whether DXY digs in at this support level or breaks down.

If it's the former, look for today's corrective action to have some legs.

If it's the latter, we should be buying this dip aggressively.

Last week, we suggested...

I'm headed to the beach today.

It's been a rainy and windy week in the Florida Keys so we've been all couped up inside.

Now that the Hurricane Helene storm system has played its course, we're due for some beautiful weather.

I woke up this morning and I checked the forecast.

It said the sun will be shining.

Another thing I typically do from bed each morning is check my crypto accounts and watchlists. 

When I did, I noticed the SOL is shining too.

Solana has rallied about 20% since the middle of last week.

When it comes to the overall crypto market, Solana is as important as anything.

It is the 4th largest token with a market cap of about $74B. For context, if Solana was in the S&P 500, it would carry a larger weight than large cap stocks like Target, Crowdstrike, and FedEx. It's a big deal.

But more importantly, Solana is the secular leader when it comes to crypto. 

It tends to move first, and tip off the rest of the asset class, and it tends to outperform during bull cycles.

Solana kicked off the new crypto bull market with serious momentum back in January of 2023. And then again last fall,...

Last summer, Sean and I toured Southeast Asia and gave presentations at CMT events in seven different countries.

I was lucky enough to learn firsthand about the local companies, the nuances of their financial markets, and the compelling growth stories that are playing out in this exciting region of the world.

I fell in love with some of the places I visited.

In countries like Vietnam, Malaysia, and the Philippines… you could literally see it. You could feel it in the air. You could hear it in the voices of the people we met and had conversations with. It was an exhilarating experience.

The runways for these countries to keep growing and eventually play a larger role in the world economy was obvious. The investment opportunity seemed massive.

I was all in on emerging Asia. It was a no-brainer.

But, there was one big problem…

The charts were not telling this story of growth and prosperity. These countries were all trading around new lows.

I was telling the same joke at every new CMT meeting when I got to the segment about local markets. I only had good news for our friends in Japan.

Everywhere else, I would spend 30 minutes...

The precious metals market is heating up.

Gold has been making new all-time highs consistently since March and now Silver looks like it wants to join in on the fun. 

I think there is a major catchup trade brewing as silver threatens to resolve this multi-year basing pattern. In fact, it looks like it may already be underway.

Today it rallied nearly 5%, marking its best day since May, and closed at its highest level in over 10 years.

I love to see this kind of momentum on breakouts.

I also think gold has given us a beautiful roadmap for where silver is headed next.

The chart below shows the historical correlation between gold and silver.

As you can see, the two metals tend to move together, peaking and bottoming around the same time.

They also tend to follow similar patterns, just like the multi-year ranges that formed starting at the 2020 highs.

Gold already resolved higher back in the first quarter and is up about 27% since. 

Silver is resolving higher as we speak.

Considering the higher beta that silver carries, we think there's plenty room for upside from here.

We're buying silver and...

Uncorrelated trades continue to pay off as an effective way to diminish portfolio risk in this messy market environment.

A few days ago, a trade was put on United States Natural Gas Fund ETF $UNG for Breakout Multiplier members. You can see the details here.

Fast forward to today, and the value of those options have doubled. This gives us and our members the opportunity to take half off the table and enjoy a free ride.

While we are able to reduce our risk in the trade, and always want to in these cases, we still like Natural Gas a lot… maybe even more than we did when we put the trade on initially.

Here’s a look at natty gas putting the finishing touches on a short-term bearish-to-bullish reversal within the context of a longer-term rounding bottom formation.

The recent rally has pushed...