(CHECKING IN ON MARKET SECTORS)
February 14, 2024
Hello everyone,
Markets suffered a jolt early in the week after the January inflation report showed stubborn inflation is a thorn in the side for the Fed. So, the question is not only when the Fed will cut rates, but by how much. March is definitely off the table, as is May. We were all expecting June to be the month we could see the Fed cutting, but let’s not write it in ink yet.
So, markets are off their highs. Will that pullback continue? In the short term – I believe so.
The Chinese New Year is celebrated from the 10th to the 24th of February, and we are in the Year of the Wooden Dragon.
U.S. dollar – there is more upside ahead for the dollar. Therefore, we will see further downside in the Euro, Aussie dollar, Kiwi and the metals.
Gold – as the dollar moves up gold will continue to correct. This is the time to be accumulating positions in Gold. Keep averaging into stocks (GOLD), (GDX), (WPM), (SIL), (SLV) and building more out-of-the-money LEAPS positions in GOLD and other stock positions.
Spot gold 1951 – 1965 is a very good purchasing area in gold. Keep buying all the way down to this zone in Gold.
After these lows we are headed up to new highs.
Daily gold spot chart
Look for targets in gold at levels 2191, 2370 and 2547.
Gold defends against inflation and market corrections.
Silver – like gold, expect more weakness. Spot silver 2068 – 2100 = strong buy territory.
Daily spot silver chart
Nasdaq – we hit 18,000 and almost immediately the market turned on its heel.
Next support levels are 17407 and 17140. Strong support line at 16774.
Nasdaq 100 Daily chart
Bitcoin – target is $57,885. $40,000 offers strong support.
Daily Bitcoin chart
Cheers,
Jacquie
