A couple of days ago, I talked about three big reasons I’m long China.

Today, I want to go deeper into the overwhelming bearish sentiment around these stocks and why it could be the perfect catalyst for their next leg higher.

Whether it’s the doom-and-gloom headlines, distrust in the government, skepticism over earnings, or fears of an escalating trade war., the bottom line is— “these stocks are uninvestable.”

Just look at this chart. Short interest in the Large-Cap China ETF $FXI was recently at the highest level it's been in the last year and is still elevated today. 

Investors around the world keep piling in on the short side.

Every time short...

If you’ve been following me for a while, you know I’ve been long China.

This is a bet against the crowd. Nobody trusts these companies or their numbers—honestly, I don’t either. But I don’t have to. 

I trust price.

And for months now, these stocks have been catching a relentless bid. That kind of price action tells me everything I need to know.

Investors are willing to take the risk, and as long as price keeps confirming it, I am too.

One big reason China is working—something no one’s really talking about—is the quiet rotation happening across emerging markets.

The Large-Cap China ETF $FXI recently scooped higher above a key support level relative to the Emerging Markets ETF...

Gold has been an absolute monster since breaking out of that massive base last year.

Gold bugs can't complain—this is what they've been waiting on for years, and now they’re finally getting paid.

They’ve got the ball and are sprinting downfield with no one in sight.

This week, price ripped out of another tight consolidation to fresh all-time highs, just like it did last September. 

It’s the same playbook.

The bulls are running the show, momentum is screaming higher, and this secular uptrend is showing no signs of slowing down.

Yet no one's talking about it. That just makes me even more bullish.

I think we will see 3,350 this year.

Under this scenario, Silver and Copper could be next in line to follow…

When it comes to Canada, it's not about tariffs or political headlines making the rounds these days.

The real focus is the Canadian Dollar.

With nearly a 10% weighting in the Dollar Index $DXY, CAD is a crucial piece of the broader currency puzzle.

CAD/USD is pressing against a decade-long support zone, hovering around a key level that triggered strong reversals in 2016 and 2020.

What makes this even more significant is CAD’s close correlation with commodities—especially oil and metals—due to Canada’s heavy exposure to natural resources.

Just look at how the Canadian Dollar has historically traded alongside Crude Oil over the past years.

They look almost identical.

They say history doesn’t repeat, but it often rhymes. If CAD/USD rips higher from here and buyers defend support around 0.68, we can expect energy stocks, metals, and...

Every year, without exception, there's always a new headline, a fresh "fear," or just another reason to sell.

Whether it's a new geopolitical tension, economic concerns, or the latest updates on DeepSeek and tariffs, there's always something that seems to provide something to “worry about.”

But here’s the truth. Investors have dealt with headlines like these for decades. It’s nothing new.

Our friend Ryan Detrick put together a great chart that perfectly illustrates this point.

If you get too caught up in the noise, it’s easy to fall into panic and lose sight of the bigger picture.

After all, the market is a discounting mechanism and is likely ahead of any headline.

The key is to block out the distractions and stick with your plan. Risk management, discipline and your rules.

Another international theme on my radar right now is European banks.

These stocks serve as a strong gauge of global risk appetite. Typically, when they perform well, risk assets are in good shape.

The European Financials Index $E1FIN just closed the month at its highest level since the Great Financial Crisis. 

This is particularly important for a lot of international indexes that are heavily-weighted in bank stocks.

If this breakout holds and we see follow-through in the coming weeks, it’s hard to imagine markets or the economy falling apart.

This was a very important topic we discussed yesterday in my presentation, and I think we all agreed.

After all, if these stocks are thriving, how bad could things really be?

Have a good...

Hanging out in New York City this week has been such a blast. 

Today, I gave an extra-long presentation on the outlook for global equities. We talked it all out in the room for several hours. 

For me, there is one big takeaway that towers over the rest. I think 2025 will be all about China. 

In my presentation, I gave three major reasons why I’m bullish on Chinese equities. Here they are:

• The initiation thrust from September.
• The rotation happening within emerging markets.
• The prevailing bearish sentiment around China.

Then, right in the middle of my presentation, Dan Ives showed up.

It was the cherry on top of what has already been an incredible week.

It was epic.

Yesterday was unreal. We visited the NYSE with Jay Woods and got a full tour of the place.

Walking the trading floor during market hours was an incredible experience—watching the action and how things work, staying until the closing bell, and taking in that iconic moment firsthand. I’ll never forget it.

Afterward, we hung out and had some drinks right there on the floor. I feel like I just lived through the classic NYSE traders routine.

Then it was right back to work. We woke up this morning and hit it hard.

We just ended the first day of presentations, and everyone absolutely crushed it.

JC kicked things off with a state of the markets talking about sector rotation and why it is the lifeblood of a bull market.

We discussed a ton of ideas and finally made some trades.

Jason did a deep dive on Gold and Precious Metals.

Just landed in NYC for our Portfolio Accelerator event, and I couldn’t be more excited!

Every few months, the whole All Star Charts crew gets together with program members and some of our closest friends in the industry for an exclusive gathering of the brightest minds in finance.

It’s the perfect opportunity to connect with incredible people and dive deep into what’s working in the markets right now.

Last year was amazing, but I already know this one’s going to take it to another level.

It’s my third time in the city, and I feel so fortunate to be part of something like this.

Being around some of the sharpest traders, portfolio managers, and technicians isn’t just inspiring—it’s a massive chance to learn and grow.

Everyone’s here—JC, Sean, Sam, Patrick. These are my people. And every time we come...

Infrastructure companies play a key role in supporting the global economy and are at the forefront of some serious mega trends. 

These companies literally build and service our everyday lives. 

After 17 years of no progress, the iShares Global Infrastructure ETF $IGF is now challenging its pre-financial crisis highs as buyers work to complete a massive base.

This ETF holds a well-diversified basket of stocks, offering exposure across three primary sectors: utilities (40.4%), industrials—including transportation (38.6%), and energy (21%).

If IGF can break above its former highs around $52, the path of least resistance points higher, paving the way for a fresh leg up in these groups of stocks.

Alfonso

Bitcoin broke out of a multi-year base back in November and surged rapidly from $70K to $100K, hitting my initial target in a matter of days.

Fast forward to today, and it has been consolidating within a tight range, digesting gains just below the key psychological level of $100K. 

This level is also the 161.8% Fibonacci extension from the 2022 bear market.

Earlier this week, BTC quickly dipped below support and then reclaimed it, trapping the bears as price reversed higher. It’s booked several bullish follow-through days since.

With the bulls proving themselves and BTC above $100K, I think a fresh leg higher could be around the corner.

The next target is around $155K.

See you there.

For the market to experience a meaningful correction, we need to see clear signs of defensive rotation—and so far, that hasn’t happened.

In the bond market, U.S. Treasuries are viewed as the defensive play, especially compared to their High Yield counterparts. 

It’s the same concept in equities when you compare Consumer Staples to the broader S&P 500. If the environment favors risk-taking, both Treasuries and Staples should underperform.

Overlaying the Treasuries versus High-Yield ratio (IEI/HYG) with the Staple vs S&P 500 ratio (XLP/SPY), you’ll notice they move in the same direction.

Currently, both are trending lower and making new lows, signaling no defensive positioning from bond or equity investors.

As long as these lines keep trending down and to the right, there’s nothing to worry about for risk assets. But if they start to turn higher, that would be a key warning sign of trouble ahead, potentially...