As January comes to a close, the main stock indices plod on, Bitcoin starts to correct, and we start seeing extreme action on some lesser-known counters.

We also conducted a market poll to see what our readers think.

Market Poll on S&P 500 & Bitcoin

Last week, we conducted a market poll on our Telegram channel (, and here are the results!

About 2/3 of those polled are bullish on the stock market, expecting the S&P 500 to make new highs.

In a similar vein, about 1/2 of those polled think that Bitcoin will make new highs.

Historically, the crowd is usually wrong, so let’s see how these predictions turn out! 😄


Let’s take a look at the general market trends:

The stock indices (NASUSD, SPXUSD, R2000USD) and the Pound (GBP) are all very bullish, whereas the Euro (EUR) and US dollar (USD) are very bearish. 


Profit-taking on Bitcoin

In last week’s blog post, I warned people that the parabolic move of Bitcoin to $40,000 was not sustainable, and a correction was due.

Bitcoin has corrected about 30% from its recent highs, and now remains rangebound.

I will monitor for an opportune moment to enter.


GameStop (GME) Saga – What Exactly Happened?

As a business, GameStop, which primarily sells video games and gaming consoles, has been on a slow decline for some time.

That is why many large funds have huge short positions on this stock, giving it one of the highest short interest.


The r/WallStreetBets community on Reddit, which has more than 2 million subscribers, decided to come together to buy up the stock and push up its price.


As the price of the stock increased, this caused more funds to close their short positions (by buying the stock), thus further pushing up prices.

This is called a short squeeze, and it can cause prices to spike up.


Here is the daily chart:


And here is the 15-minute chart:


Elon musk also joined in the fun:

The GameStop stock jumped more than 60% after hours as Elon Musk tweets out the Reddit board that’s the hyping stock. 

I wonder how this will end. 🤡

Stay tuned for next week!

All of a sudden, I’m seeing the word Bitcoin everywhere I go.

It is all over the news.

Bloggers are talking about it.

Everyone is calling a buy for it, even those who have no idea what cryptocurrency is.

So the big question is, is Bitcoin still a good buy at its current price?


Here is some background on Bitcoin:

Before answering that, it’s amusing how everyone is getting excited about Bitcoin now, when just a few months ago most people were saying it it’s a scam, or that it is going to crash to zero, that it is worthless, etc.

Seems like it is human nature to jump on the hype train.

If you have been following me on my Telegram channel (, you will know that we have been accumulating it since early last year, when it was around $4000+.

Here are some of the updates I posted last year:


Now, let’s look at the current prices.

On the weekly chart, we haven’t seen any correction in months, which shows that the trend and momentum is strong in the long-term, but it also shows that the trend is not moving at a stable sustainable pace.

A stable trend is marked by ups and downs, not just a parabolic one-way move.

If you think in terms of numbers, the potential percentage upside gain is much less compared to the start of the trend, which is why I prefer to get in early on a new trend rather than chase a late-stage trend.

If I am going to add more positions or enter, I will wait for a larger correction first, such as a pullback to the EMAs on the weekly chart.

Trade safe, and stay tuned! 💰😎🔥

Yesterday, we saw an incredible spike in Bitcoin of close to $2500, which is 40+% move.

Even though price has corrected slightly, it is currently still up by about 30% from its recent lows.

Although no one really knows the reason for such a sudden move, many people have attributed it to remarks by the Chinese President, Xi Jinping, who said the country needs to “seize the opportunity” afforded by blockchain technology.

Speaking as part of the 18th collective study of the Political Bureau of the Central Committee on Thursday in Beijing,  he said that blockchain technology has a wide array of applications within China, listing topics ranging from financing businesses to mass transit and poverty alleviation.

Although he was talking about Blockchain technology rather than cryptocurrencies, traders seem to have felt that it would still have a positive effect, at least based on what the market is reflecting.

For a technical perspective, the chart is starting to look more bullish medium/long-term, with the breakout of the falling wedge pattern.

After months of consolidation, Bitcoin has broken down from its triangle consolidation price pattern.

The interesting thing is that if you look carefully you will see both a symmetrical triangle (neutral) and a descending triangle (bearish), so overall the odds of it breaking down was higher than the odds of it breaking up.

The next support level is around the $6800-$7000 level, so we might see a small pullback, followed by more bearish movement downwards.