Rapid Fire Charts
Investors,
Today’s edition of Cubic Analytics will be unique.
As a personal note, I’m leaving Santa Barbara and returning to Europe indefinitely.
No, I’m not on the run… though some have suggested that I might be in the CIA (fun fact, I interviewed at the CIA after college for an economic analyst position & was offered to return for a final interview, but turned it down for a corporate banking job).
Depending on how long you’ve been following my research, you might be aware that I started living in Europe in March 2023, spending one month in each location before moving somewhere new. I did that for about 16 months, living in Croatia, Hungary, Turkey, Romania, Montenegro, Albania, Spain, and Italy, before coming back to Southern California to visit family & friends in July 2024.
Trading full-time and producing market research has given me the opportunity to live and work from anywhere, so I’m using that to my advantage as much as possible.
My flight is this upcoming Tuesday, so I’m in the final sprint of making my final arrangements, cleaning, packing, and of course, saying goodbye to family & friends.
Amazingly, I was even able to meet a few of you during my time here in Santa Barbara and many more at the Future Proof event earlier this week in Huntington Beach!
Due to some time constraints, I have to make this edition short & sweet.
Instead of the typical format, I’m instead going to highlight the 6 most important posts that I created or saw on X this week. The format will be simple:
2 macro charts
2 stock market charts
2 Bitcoin/crypto charts
You can click on any of the photos below and be redirected to the actual X post.
Tomorrow’s premium edition of Cubic Analytics will be released in the normal format.
Let’s begin.
Macroeconomics:
1. Initial unemployment claims aren’t showing any signs of weakness:
2. Expectations for Q3’24 real GDP growth are rising:
Bonus: I did a long-form post on X, sharing a conversation with ChatGPT about the dynamics that differentiate the 2007 Fed rate cuts vs. the current Fed rate cuts. I’m seeing a lot of analysts (many of whom have been bearish for 2 years) say that this latest Fed rate cut is bearish because it signals weakness in the system. I couldn’t disagree more, so I used the objectiveness of ChatGPT to highlight the failures in the economy and the financial system in 2007 that facilitated the Fed’s 0.5% rate cut in September 2007. It might actually be the most important post I did on X all week, which you can (and should) read here.
Stock Market:
1. New all-time highs for the S&P 500:
2. Participation is broad-based & breadth is strong:
Bitcoin & Crypto:
1. Altcoins could be ready to break out:
2. Michael Saylor keeps buying Bitcoin with convertible notes:
I continue to think that Microstrategy is one of the best high-beta ways to get exposure to Bitcoin in the entire market, even surpassing the alpha that many altcoins can provide. Microstrategy is a key component of my personal exposure to Bitcoin, which I use as a trading vehicle to capture outperformance.
My MSTR exposure is small relative to my cold storage Bitcoin stack, or even relative to my spot Bitcoin ETFs or leveraged BTC ETFs; however, I’m really excited about two new funds that just got listed this week: the 2x bull/bear Microstrategy ETFs from REX Shares.
• T-REX 2X Long MSTR Daily Target ETF MSTU 0.00%↑
• T-REX 2X Inverse MSTR Daily Target ETF MSTZ 0.00%↑
These funds, which just got listed this past Wednesday, are designed to generate 2x direct or inverse exposure to the daily price action of Microstrategy (MSTR). Because MSTR already acts as leveraged BTC exposure, these funds are basically doubling down on the leverage aspect and providing investors/traders with a high risk and high reward security to make directional bets on BTC and MSTR.
They can be used to hedge existing exposure (like being long MSTZ to offset existing MSTR or BTC exposure, for example) or to double-down on a directional bias.
I’m super excited to be working with the REX Shares team, as I’ve been using their ETFs for a few years now before they even reached out to partner with Cubic Analytics. I think they have some of the most unique funds in the market and they continue to push new innovative ideas for investors to utilize.
Of course, I encourage all of you to read more about their funds here.
Best,
Caleb Franzen,
Founder of Cubic Analytics
This was a free edition of Cubic Analytics, a publication that I write independently and send out to 11,000 investors every Saturday. Feel free to share this post!
To support my work as an independent analyst and access even more exclusive & in-depth research on the markets, consider upgrading to a premium membership with either a monthly or annual plan using the link below:
SPONSOR:
This edition was made possible by the support of REX Shares, a financial services and investment company that creates an array of unique investment products and ETNs.
I first collaborated with the REX Shares team in 2023 because I’ve been using their products as trading vehicles since 2022 and it was an organic & seamless fit. They have a unique product-suite, ranging from leveraged products, to inverse products, and income-generating products.
Please follow their X/Twitter and check out their website to learn more about their services and the different products that they offer. The REX Shares team did not have any say about the specific language, analysis, or commentary contained in this report
DISCLAIMER:
This report expresses the views of the author as of the date it was published, and are subject to change without notice. The author believes that the information, data, and charts contained within this report are accurate, but cannot guarantee the accuracy of such information.
The investment thesis, security analysis, risk appetite, and time frames expressed above are strictly those of the author and are not intended to be interpreted as financial advice. As such, market views covered in this publication are not to be considered investment advice and should be regarded as information only. The mention, discussion, and/or analysis of individual securities is not a solicitation or recommendation to buy, sell, or hold said security.
Each investor is responsible to conduct their own due diligence and to understand the risks associated with any information that is reviewed. The information contained herein does not constitute and shouldn’t be construed as a solicitation of advisory services. Consult a registered financial advisor and/or certified financial planner before making any investment decisions.
Please be advised that this report contains a third party paid advertisement and links to third party websites. The advertisement contained herein did not influence the market views, analysis, or commentary expressed above and Cubic Analytics maintains its independence and full control over all ideas, thoughts, and expressions above. The mention, discussion, and/or analysis of individual securities is not a solicitation or recommendation to buy, sell, or hold said security. All investments carry risks and past performance is not necessarily indicative of future results/returns.
Each investor is responsible to understand the investment risks of the market & individual securities, which is subjective and will also vary in terms of magnitude and duration.
Enjoy your travels sir!