DC Lite #462

In partnership with

1. Gold ETF flows. "Global gold ETFs gained another US$2bn (~14 tonnes) in net inflows last week - the seventh consecutive week of positive flows. YTD net inflows of US$68bn outpace any previous annual total, while YTD demand of 645 tonnes is now second only to 2020's annual total of 892 tonnes."

2. BTC open interest. "Friday’s wipeout triggered the largest futures liquidation in Bitcoin’s history. Over $11B in open interest was erased as leverage was forcefully unwound. A historic deleveraging event that has reset speculative excess across the market."

3. CTAs vs. equities. "After Friday’s move, we have CTAs modeled to sell equities in every scenario over the next week and month, mostly concentrated in the US."

4. BTFD. "It's been a good year to buy the dip. The S&P 500 has rebounded around 2.3% the week after a one-day drop of 2%. That's the biggest jump since 2019, and the second largest since **1983**".

5. ZBT set up days. "NYSE advancers divided by advancers plus decliners logged a 10-day EMA of .397 on Oct 10th, creating the condition for a Zweig thrust. A print above .615 by Oct 24th is required to generate a signal, but signals are exceedingly rare. Only 2% of setups since 1960 have panned out."

ICYMI