Nasdaq breaking down. Saylor breaking down too.

Issue #12. The importance of the >2 Year AI Trend.

For the last Breakout issue, click here. For the emergency breakout sent on Hesai Group and the Lidar opportunity, click here.

In this issue we will review market moves, see how our stance and expectations from previous issues has been playing out and formulate hypotheses about future moves.

---

Gold

Gold in a long-term uptrend. Blue arrows show breakouts from older technical formations that we flagged right here in Breakout. The turmoil of this week and obviously resistance around the $3,000 level brought some selling to the yellow precious metal.

It seems the flow was profit taking in Gold and a move to treasuries, we’ll get to that later. Right now the catalysts that could stop this trend in its tracks and cause a reversal will be: 1) Recession and/or 2) Disinflation.

Also progress on the infinite budge deficit tactic of all western nations, especially the US.

Moving on to the Dollar…

Dollar Index (DXY)

After a retracement back to the upper boundary of the 7% long-term range, the Dollar found support and moved up. I think this was precipitated by a risk-off / safe-haven trade with the turmoil of this week.

Everyone is confused — and so are markets. So what did they do? Bought some USD and some Sovereigns.

The Euro

The Euro benefitted from some Ukraine-related green shoots as progress on the front was brewing, with Trump and Putin making historical moves to solve the impasse. But antagonism from the Europeans and the sell off in stocks benefited the Dollar, weighing down the Euro.