We Have a Binary Market Now: PREPARE FOR COLLAPSE

Truckers are down 11% the past week because they were ‘part and parcel’ of the commodity shipping trade — a trade that extended from intermodals to rails to ships — even some air freight. The idea was, scarcity of materials matched with peak demand equals high rates. While this trade worked alongside commodities, the exact opposite occurred in tech/retail and other ‘normal’ economy stocks. Surprisingly, the alt energy and solar stock sectors took off too, providing two areas of the market that could rally under any bias.

Here are the top Alt Energy stocks and Solar stocks in Stocklabs — ranked by technicals.

FREY, SLDP, PLUG, BE, GEVO

ALT ENERGY STOCKS ARE +15% THE PAST MONTH.

ENPH, SPWR, CSIQ, BEEM, RUN.

SOLAR STOCKS ARE UP 17% THE PAST MONTH.

See that? That proves that stocks like MOS, IPI and NTR are comparable with PLUG and ENPH as it pertains to this war trade. I did not expect this to happen when the war started; but I suppose the market is pricing in a green future for Europe. The market now, aside from those two areas, is binary. Either tech rallies or commodities — but not both.

On the pressing issue of collapse and when it will happen: soon.

We have just enjoyed a bear market rally. During all previous collapses I probably made just as much money, if not more, during oversold bounces. The trick about bear markets is not believing in the hype. Understand and accept this rally has an expiration date and when you begin to see it curdle — throw it away, lest you’l find yourself guzzling down spoiled milk with curds dripping off your chin — as Mother Market punches your fucking face loose.