What's going on moon gang. This is your market wrap up with me matt matt from monday july 11th. And boy oh boy do we have a lot to about first i want to talk about the overall market. Yeah.

There's some interesting technical developments a little bit bearish that i want to be highlighting. But i mainly want to focus on some of the important macroeconomic announcements going down this week. I want to let you know what they are when they're occurring. So you're a little bit more prepared.

I also want to talk about europe or at least the euro apparently going to zero or going way down or something like that i don't know it's been downhill for europe ever since we kicked their ass in the revolutionary war and finally i want to get into some interesting news related to amc that i really think you're gonna like and if we have some extra time. If we have extra time i'll be explaining why i cry in the shower. But let's see how long this video really goes now before we get into all the fun stuff if you enjoy this type of content let me know by destroying that like button. And don't forget to join up with the moon gang by hitting the subscribe button and now with all that out of the way.

Let's get rockin now very quickly. If you went up to a thousand dollars in free stock no payment for order flow. No market makers check out public. It's a brokerage you can actually trust it will be linked in a comment below.

Now let's talk about what really went down. Today. You know we kind of had a day of not too much in the overall market. I guess it gapped down.

But intraday it went down then shot up then came down and i don't know it was a big mess. It was a tough day to have any intraday trades on but check this out the s. P. 500 dropped 112.

Percent. The qs and the russell. The small cap sector got brutalized down two percent yet amc and jimmy in the green. Amc very close to a major breakout level up two percent gme up 12.

Percent. In fact they're the only green things on my watch list other than that we had twitter that was awful down. 11. That's because elon has filed on friday july 8th.

To pull out of the twitter. Deal so that went down. Tesla ended up dropping 65. Percent.

The market was a bloodbath today. So i just thought. It was kind of noteworthy that amc and gme you know those stocks that all these fundamental analysts are telling us no they're not going to do well actually ended up green now i'll be calling out their or text numbers at the end of this video and have some news related to amc. But before we get into that i do want to talk about the overall market.

What i was alluding to before with a little bit of a bearish development is pretty much this we close below friday.'s low which was around. 38566 as you can see we closed at 38433. Which just basically means we might have a little bit of change of trend. Basically.

We have this bullish push a bearish push a bullish push. But now it's showing signals that we might go back down to the bearish side. Which isn't the best because we did not breach the recent high as in yes. We do have a higher low.

Which i'll give you that but now we have a lower high so we it's a classic consolidation pattern. I also want to point out with the macd the moving average convergence divergence indicator. One of the most popular ones out there it's getting a little less bullish. So there's a couple things that are saying in the short term.

It might go bearish that's all so exactly why i bought spx puts today. If you want the details of that i post it in locals. But i also want to call out that this could change very very quickly very very quickly in fact it could all be changed as early as wednesday in a very dramatic fashion. We get the.

Cpi report the consumer. Price index so when we're talking about. 85. 86.

A four decade high this is the report that everyone is referring to and it's the report that the fed will very much be paying attention to when they had the next fed. The fomc. The federal open market committee. The fed rate hike meeting at the end of july pay attention to that on wednesday july 27th.

But anyway the expectation is sky. High they are expecting inflation to come in at 88. Which is ungodly high and if we come in higher than this expectations. That means.

That inflation is scorching hot and there's going to be gigantic volatility. Now. Whenever you have a report like this you don't quite know how everyone's going to react. But i'm expecting a volatile reaction.

I don't know if it's going to be bullish or bearish. But there's a good chance. It's going to produce one of these bars. You know like where you have a big red bar.

Maybe a big green bar. I'm just expecting a lot of movement. So pay attention that comes out. Wednesday an hour before the market.

Opens at 8. 30 am et. Now of course. There are other announcements coming out this week.

But the next major one that i think everyone should be paying attention to is wednesday an hour before the market opens. Another funky fancy thing that people should be paying attention to is something that hasn't happened in two decades the euro and the us dollar hitting a parody as in one for one before this as you can see the euro was worth more so it was trading above one. But for quite a while it's been coming down down down. So let's get into what this actually means why it's happening.

And maybe. The potential fallout for it so for quite a while a lot of different countries. Really like their currency to be a bit weaker. Because it's a benefit for them in terms of exports and for quite a while the euro really got the benefit of that the issue is when things go south.

You don't have much wiggle room and in this particular scenario. They when i say they the ecb. The european central bank has been slower to raise their interest rates relative to the us so that's kind of making a weak currency even weaker and now when you pepper in a little bit of global conflict you know russia invading ukraine. And currently pipelines getting shut down and really a true energy debacle that makes the currency even weaker and that's exactly why we're seeing the euro usd pairing absolutely drop or another thing you could pay attention to is dixie.

Which is the us dollar versus a basket of other currencies. The euro being the number one and then the japanese yen being the number two in the basket. And then i believe the british pound is the number three. But overall you can kind of see that relative to all these other fiat currencies.

The usd is having a lot of relative strength and that is seeing the dixie soar sky high. The issue. Here is now that the dollar is more valuable that makes it more difficult for business within the us because just classic supply and demand. There's gonna it's a higher value as in it's more costly to do.

Business the us. Dollar is now a more expensive dollar. I know that's like a warp thing to think about but when everything's more expensive within. The us on top of all this inflation.

That makes it harder to have a higher performing business and drive stocks down. So that's typically why you see the spy and the dixie have an inverse relationship and it's mainly being prompted by the absolute getting kicked off a cliff situation that you're seeing in the euro. Which is their the ecb their central bank lagging behind ours and also the whole energy conflict. It's a huge huge mess.

So that's kind of the macro economic backdrop and it's fair to say of like okay like this all gonna play out and everyone has an opinion and i would like to share some of those with you a strong dollar and a soaring inflation could be a brutal cocktail for s p 500 firms and investors should expect downward earnings revisions. We are kicking off earnings season right now and it's weird because we have this energy pressure as an energy like that whole craziness with russia and really just across all of europe and now with these currencies really ripping like or technically the dixie ripping there's legitimate fear that you're going to have earnings which were about to kick off earning season. A revision to the downside. Which was going to put pressure on stocks to the downside.

So this wednesday. You're going to get delta. Then you have a bunch of banks. So we're going to see maybe some ideas on loans.

How much people have money stored up. And we also get retail sales report on friday. So we're going to get an idea of what's going on in the financial sector and then over the next two to three weeks. That's when we're going to be getting the reports from all the big players that you could probably think of so with it you got to kind of put all this.

Together what's going on with the central bank in the us. Over in europe. What's going on with the currencies. What's going on with the energy situation.

What's going on now with a lot of the major s p. 500. Companies reporting well as they were alluding to not really a cocktail for bearishness. But a cocktail for high high volatility depending on which way this breaks.

We can see massive massive moves in the market and obviously i don't want that to scare anyone because if you're on the right side of the trend. That's how you make mega big trades. The fed will likely choke off an economic rebound and change course as markets enter a new era of volatility. Blackrock warned monday today the 11th of increased market volatility as the federal reserve and other central banks try to rein in inflation and void a steep downturn that's the whole concept of we're going to do a soft landing and by soft it means i'm going to rip a six pack and drive the plane down as fast as i can and try to pull it up at the last second that kind of a soft landing.

The federal reserve for one is likely to choke off the restart of an economic activity and only change course when the damage emerges and what they're referring to is quantitative tightening as an instead of buying buying buying starting to do the selling selling selling and also the interest rate hikes. Right. Now. There's about a 95 ish percent chance the next right hike at the end of july will be another.

75 bips rate hike that exact same thing that they told us wouldn't happen that often and it's pretty rare luckily for us unless. There's an emergency meeting. There's going to be no fomc meeting in the month of august either way the macro backdrop is no longer conducive for a sustained bull market in both stocks and bonds we believe speaking very quickly about bonds. I don't want to go into some like long spiel about yields.

But i got a couple questions. Today about the whole two and ten inverting and yield curve flattening inverting that type of thing. So. The short term.

If we're talking about two year bonds. The yield. There is going to go up for the two year bond. So bonds and yields move inversely.

If the bond goes up the price. The yield has to go down and vice versa. Well the fed pretty much controls. The short term yields as in they're going to push up the yield when they raise interest rates and that's what we're seeing we're seeing the two year yield go up now the 10 year can end up coming down.

When people get scared about the current environment and instead of being there they put their money in 10 year bonds so they start to buy that but as that goes up it comes down as in the yield comes down. And you get into the scenario. Where the 10 year yield comes down and the two year yield goes up. So you start to get the curve flattening out or sometimes.

Which we're seeing right now is actually an inversion and there really hasn't been a time in history. Where we haven't seen that and then a year and a half later within on average a year and a half later having a recession. But just so you know another thing happening at the end of july. I told myself i wouldn't go off on a spiel at the end of july.

We're going to get the preliminary numbers for q2 gdp and if that's a negative. Number the headlines are all going to be us. Economy officially in a recession. That's what i have for you in terms of the overall market now let's get into some of these equities especially because you know we had some interesting movement twitter got absolutely murked today.

But even though everything was red amc and jamie in the green green green now very quickly with gme no major news. There i just wanted to give you the current short interest. Which is just below 22. More so i want to talk about amc.

So if we're looking at the darling. Right here. That's a lot of positive movement in fact. I'm looking for the reaction of the equity to this region between 16 20.

And 17 20. That's my next target for amc in the short term. And it is on its way along especially with headlines such as this weekend box office results. Thor brings the thunder with 143 million opening.

That's awesome. It's the third best opening behind doctor strange and also jurassic this year. So that's a great opening globally. It's over 300 million.

That's a big success especially when you're talking about amc. Which has over 30 percent of the market share within the us. Well adam aaron brought us. Some.

Even more exciting news on this there. This was amc's most attended highest grossing weekend in. 2022 so far more than 59. Million guests joined us globally in missions revenue about doubled.

The same weekend of 2021 and 12 above 2019. Pre pandemic. Two industry doubters. Who predicted extension of theaters choke on that we're talking about above pre pandemic highs.

I wanted to share this just because i thought this was downright impressive. If you're a little bit more on the quantitative side and you're like dude. That's great. But also give us the numbers.

The short interest as of now on amc is around 18 with the cost to borrow sitting around 13. So overall. I mean whenever i see a deviation like this when the market. The qs and the russell all three of these are having a rough day.

You have the dollar ripping like a madman right now in real. Time this is crazy amc or. Excuse me. Gee me.

Up another 26. Percent. Jumping in pre market. With amc overall like clearly this deviation is interesting.

Because there's pressure on the overall market and then yet retail is most likely standing strong on amc and jimmy wanted to share that and the final thing is just very quickly about crypto just because i found this story to be a little bit wild so just so you know for posterity's sake as i'm filming this btc is just above twenty thousand twenty thousand four hundred but check this out you know three ac three arrow capital. Basically. The mega mega mega. Crypto fund.

That is now dragging down the entire crypto sphere. Particularly voyager. I know a lot of you are feeling the pain as am. I with that one but check this out the founders of bankrupt crypto hedge fund.

3. Ac are reportedly not cooperating with liquidators and their whereabouts are unknown they just disappeared they thanos themselves the founders of 3ac kyle davies and zu are not cooperating with liquidators after their crypto hedge fund filed for bankruptcy davies and zoo had not been giving meaningful cooperation throughout the liquidation process and their whereabouts are unknown lawyers for the two have said they will cooperate throughout the liquidation. But while they appear to be on a zoom call last week. Users identifying themselves as suzu and kyle didn't communicate with liquidators keeping their video and microphones turned off.

Obviously they weren't there they just turned on zoom and turned everything else off and just wrote the right name. Liquidators also visited three ac headquarters in singapore last month. Where they were unable to find the two and unable to locate the founders uh so they couldn't find either of them and the office. Completely empty.

So i just wanted to give you a little bit of a quick crypto bonus at the end here because this is just they're gone just not there and we're talking this isn't just like for media. This is an actual legal proceeding so i thought that was pretty wild. But overall that is your market wrap up for today. Monday july 11th.

I'm expecting maybe some weird action tomorrow and then i think we're just going to see a massive breakout of volatility starting on wednesday following that consumer price index report and if you want to see how it's all going down in real time make sure you're there on the live stream. Which is free from 9 to 12 every single day you can find it on rumble you can find it on youtube. I hope to catch you there or at least catch in the next video have a beautiful day.