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Tuesday, July 6, 2021

market update 7/6/2021 - Oil sells off

 Hope you all had a great 4th of July. I myself, found it quite depressing, now that we find ourselves living under tyranny again. The tech tyranny has the ability to silence any opinions which don't support whatever the official narrative, happens to be, that day. The globalists are proposing an illegal global tax, and of course that doesn't get reported much. Your kids have already been indoctrinated, and will be encouraged to rat out even their parents (you), if you don't shut up and obey... and anyone who protests, will be labeled an, "right wing extremist", as we're already seeing.    

DOJ Still Searching For At Least 300 Capitol Riot Suspects—Including Pipe Bomb Planter—Six Months After Insurrection Forbes 

Nobody with half a brain can look at the massive amounts of available footage from the capital that day, and seriously conclude that this was an armed insurrection, so I must conclude that those who continue to accuse the innocent, must they themselves be guilty. Guilty of stealing the election, for one, and probably guilty of staging the so called insurrection as well. The coverage, was just a little too cute.... and then  Trump was banned from his own social media accounts. Not to mention, how many phony impeachment attempts, and repeatedly trying to link Trump to Russia? 

Insurrectionists pose for a photo

Enough about the state of the union, let's review today's market action 

As far as the sell-off in Oil: Looks like the failure of OPEC to come to any agreement on production cuts, was used as an excuse to take profits. Oil opened higher, but then sold off pretty sharply, yet it only fell 2.5%, and the short term chart still looks bullish. 

$SCO (2X leveraged Oil Bear): Trend remains down. This alone was enough reason for me to cover my oil short. 

We also saw China slammed. Not sure why that was, but China only looks like a pullback to a higher recent high In other words, the trend remains up, as seen on the chart below. 

$FXI - the most widely charted China index. If you recall, I pointed out that China was leading the market weakness, way back in March? I'd think it needs to retrace some of those losses, or even break out to new all time highs. 

One more thing! Every time the $VIX breaks out above the 15.90 level, you're going to see selling, but you won't see panic selling, unless the $VIX gets back above $VIX 18, 20, 21.50, and I just don't see that happening anytime soon. We've seen August swoons in the past, but I don't believe we've ever seen a July sell-off. Don't hold your breath....   

Take Care, AA  

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