For those with the gumption & conviction to not only short but short & hold two of the strongest assets in the market at this time, here are a couple of potential moonshot trade ideas on /NQ (Nasdaq 100 futures, or QQQ Nasdaq 100 ETF) and /BRR (Bitcoin futures, or GBTC Bitcoin Trust). Zero sell signals on either at this time & both in one of the strongest near-term trends since at least the start of the year but just wanted to pass along as the R/R seems attractive, when factoring in the profit potential even after netting out the below-average probability of success based on the extreme counter-trend nature of these trades.
Essentially, I am coupling my technical outlook for the stock market & Bitcoin based on the technicals, both longer-term & near-term, along with my fundamental ‘hunch’ that the stock market will sell off between now & the FOMC rate-decision next Wednesday at 2pm, similar to the taper-tantrum it threw back in Q4 2018, shortly after the last botched attempt at a rate-hiking campaign.
Again, just my guess, but I suspect the stock market will start to tell the Fed the don’t want any more rate hikes, not even a quarter-point & especially not a 50bp hike like the ECB did yesterday, right after bailing out Credit Suisse. Whether the moonshot trade pans out or not, both of these charts lists multiple downside targets including some nearby support levels that active traders could use for short pullback trades & those that are bullish could use to go long on pullbacks to support. /NQ 60-minute & /BRR (Bitcoin futures) 120-minute charts below.
NQ 60m March 17th
BRR 120m March 17th