A Macro Strategy Using Microstrategy

JC Parets
March 24, 2023

With Financials continuing to fall apart, we're focused on the assets that are making new highs - Bitcoin and Gold being 2 of them.

I was on Fox Business yesterday talking about the importance of the 2007 highs in the Financials Index.

Here's a fun behind the scenes look.

There's no bottom in sight if Financials are below their 2007 highs.

It's as simple as that.

Make sure to check out yesterday's note here.

And we also went over it all on this week's live call.

Now, as far as Bitcoin and Gold are concerned, I know some investors don't trade bitcoin, or even Gold for that matter.

But there are plenty of stocks that trade very closely with each of those assets.

To us, it's no different than buying Apple or Chevron. They're just tied to different assets that aren't Consumer Tech or Energy.

It's all letters and math, at the end of the day.

Moving forward I really like this Bull Call spread that we put on in shares of Microstrategy yesterday.

You can find all the details for the trade here, which includes both risk management procedures and price targets.

There are some positive signs for stocks and some negative ones. It's no wonder the major indexes are still stuck in a range.

You can also see prices of the S&P500, for example, are still stuck below their AVWAP from the all-time highs.

It's a rangebound market, at best, while this is the case.

A breakout above 415 or so that holds would be really constructive for equities as a whole.

But we still haven't seen it.

Make sure to catch up on this week's call for all the deets.

Let me know what you think!

JC

 

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