Outback Steakhouse and Crude Oil

September 29, 2021

Today we're taking a look at Bloomin Brands, which owns Outback, as well as other restaurants like Carrabba's and Fleming's.

I can't help but look at all that former resistance from 2013-2014 and again in 2018. Is this recent correction back to that level just the retest?

Or is price going down under?

This one reminds me a lot of Crypto markets right now.

Many of the strongest names are/were attempting to break out above resistance from the highs in the first half of the year.

Avalanche is a great example. Is this just a retest of those former levels, or a massive failed breakout?

I think this is the question a lot of crypto traders should be asking themselves right now.

Could Crypto be a casualty of higher rates? Do traders get away from that high growth and into the things like financials and energy?

Are investors prepared for such a shift?

I don't think they are.

That means there's opportunity there.

Watch 10s at 1.4%. If US 10yr yield is above that, then how do we not buy banks and energy stocks?

And if Oil gets above 76, are you going to tell me it can't get to 100 quickly?

If Oil has taught us anything over the years, it's that it can go a lot higher than you think (150+) and a lot lower than you think (below zero).

The oil market doesn't care about your Bollinger bands or your oscillator. It's going to do what it wants.

And with that, comes opportunity. And to me, it starts with rates.

So that's what we'll be watching closely this week.

Let us know what you think!

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