Tech Stocks Soar Amid Market Lull

Music. Yes, yes, yes, yes, yes, man. What is going on?

Gerald Peters here and welcome to the Money Flow Trading Society's podcast, The Science of Getting Rich. I almost had bastard read the trade. I've been trying to kind of just, it gets confusing having two different podcasts. So trying to combine the content maybe into one. We'll see how that goes. Any feedback is always welcome. Wow, July 14th today, man. Monday Funday, huh? The market's got a sluggish start to the week, but I don't know about you. No news. It's kind of like good news today.

We saw the tech stocks edge toward an all-time new high despite slow news day. Dow Jones Industrial Average, it was up just 0.2% while the S&P gained just 0.1%. NASDAQ closed up 0.3%, continuing to be the leader, was the leader in our wind. Well, no, Bitcoin was, but as far as of the big three, but that was enough to put the tech heavy NASDAQ to reach an all-time high.

And while the S&P sits at its third highest close in history, something to understand about all-time highs, don't let that rattle you. Don't let that confuse you. Don't let that seem more significant than it is because you could have 50 all-time highs in a year. And you just keep getting an all-time high and all-time high. Sometimes you thinking, well, it's an all-time high. I think I should pull my money out. That is not a wise or smart idea.

What's in motion tends to stay in motion. It doesn't just turn on a dime. Now, we are starting to consolidate here. If we look at the indicators, I was just looking at the RSI across the board on the big ones. And if we look on, let's look at the SPY, the S&P 500 here first ticker spy is our go-to and of course i'm not logged in sorry about that as we pull up the spy here. The RSI is at 69, so it's pulled back slightly, still extreme.

We got the Dow Jones Industrial, the ticker DIA, it's at 64, that's less. And then let's pull up the QQQ, which is the NASDAQ, it's at 76. So a little bit of a work off there, but just a few points, right? It's just a few points. Tariffs continue to be a concern, but there really wasn't much movement on that front today. markets are mostly in a wait mode as big banks will kick off second quarter earnings season this week.

JPMorgan, Wells Fargo, BlackRock, and Citigroup are slated to report tomorrow. That's Tuesday. That'll be July 15th, followed by other big names like Johnson & Johnson, Netflix, and American Express later this week. Analysts are largely growing more optimistic about earnings after the tariff scare this spring on hopes that deals will be struck at reasonable letables.

So everybody kind of thinks that everybody's going to kind of come together, kind of work together, and we're going to figure out these tariff things. We're starting to see that a lot of, there's not a lot of back and forth in the news. People aren't saying, well, we're going to hit you with this and hit you with that.

I think most countries are deciding, you know what, this would be a lot easier if we just kind of come to the table and, you know, come to the table and let this thing play out, man.

In addition, we had Bitcoin soaring to all new levels. This morning, hitting a new high above $123,000. Doing this right now on the move. And what it means, Anthony Pompliano is here as the founder and CEO of Professional Capital Management. Good morning to you. I guess, as Joe said, if you're going to get to $250,000 or $500,000, and you got to cross 123 at some point. But what do you think is happening and what's driving it right this moment?

First of all, welcome to the greatest show on Wall Street. I think that Wall Street's full undivided attention now is on Bitcoin. And there's three things that drove this move. The first is that there's been... Not sure if you guys know Anthony Pompolino. Probably say his name wrong. He's been in the Bitcoin space a long time.

I remember him as when he came out of the military and he got involved in social he was online and he was really a proponent of Bitcoin and then got into it and of course my mouth stops working nice. And he's really done something with his platform and what he's been doing. He's the founder, CEO, professional capital management now. And they bring him on a lot to talk when Bitcoin moves. The guy knows his stuff. Record inflows into the ETFs. So last Thursday, $1.2 billion, second highest day.

Those ETFs now collectively have over $140 billion. BlackRock's fund is now almost $90 billion in about a year. They went from not having a Bitcoin ETF to now they have a top 20 largest ETF in the world. Think about that. They had none. Now, within one year, it's top 20. Breaks all records, even the S&P and gold, when they became ETFs. So a lot of inflows there. Second thing is the options expired at the end of Q2. And so all that downward pressure on Bitcoin obviously goes away.

That helps kind of like a beach ball getting put underneath the water, right? Obviously it can pop back up. And then the third thing is that there was a lot of short sellers and you started to see that build up. And as they got blown out as Bitcoin ran, you get into this price discovery phase. If you go back to November, we went from $70,000 to $90,000 in about two to three weeks. And $70,000 was a new all-time high. What we're watching now is we broke through

that $110,000 range. That was the previous all-time high. I don't know if it goes to $140,000, but it sure is going to make a big move here because you are in a true price discovery phase. And how man could we see 140 definitely by the end of the year i think that's a no-brainer but you know does it happen this month it could happen easily it could happen easily bitcoin is something man it's crazy and then bitcoin will spend the next year staying at the same price.

Now, I found Fast Money Gang, they got on to the traders discuss if Bitcoin has room to run at its record high. Let's listen in. What are all these moves signaling for the crypto space, but also what do they signal for the broader market? Steve, you've been on this bandwagon for a long time now. Yeah, so obviously this is the most crypto-friendly administration. And it's in its infancy if you look at it, if you pull it back a little bit.

So we have the Genius Act, we have the Clarity Act. if you look at the old sec they ran through enforcement versus regulatory this one's running through regulatory clarity versus enforcement and i don't want to say anything is anything is is possible or anything is going to be allowed but if you have it gauged as a commodity versus a security it does open up a lot of possibilities for you so when you look at the estimates on price.

There are people who think this goes to 200,000 this year. We only have a handful of them. That to me seems a little crazy. Anything is possible. Well, I am a firm believer that it's going much, much higher from here. Think about corporate adoption. Corporate adoption is probably only about 2%. If you sit and think on how many people actually own Bitcoin, that's what will get you excited about the asset class. But listen, don't let all the hype and everything throw you off.

Keep it as a percentage in your portfolio. Central banks, only about 3%. Those are both going higher, much higher. Retail investors going much higher. So look at it through, I'll leave off with this. Look at it through the market cap of Bitcoin. That's around 2 trillion, let's say. Look at the market cap of gold. That's around 20 trillion. Maybe it doesn't have to be gold, but if it closes the gap to 50%, you're looking at $500,000 per Bitcoin.

Come on, baby, $500,000. And I do think that in eyeshot, you're looking at $250,000, $350,000 pretty easily for crypto. There's a couple of things, a couple of... Now, Michael Saylor says 13 million. Hurdles, but I think those days of it losing 80% of its value and then rallying up are long gone. There's too many people that are looking for the asset. So it's smoothed out in terms of the volatility. What do you think, Karen?

Let's not get into what Karen thinks. Well, let me hear what Karen thinks. Do you think a lot of these gains that we have witnessed so far is everything that Stephen mentioned except pull forward and set at this price? I'm sorry. Say that again. Do I agree with everything Steve's mentioned? No, I mean, yeah. Yeah, basically, yes. Absolutely. That surprises me. She's an old school Wall Street type person. Traditional portfolio.

So she must obviously have a position. That means everyone on wall street is coming around. And if everyone needs a position, every business needs some of their treasury in it. The price could get ridiculous. John Blank, he's a chief equity strategist over at Zax. I don't know if you've heard of Zax. They rank stocks and whatnot. And he discussed today the possibility of Bitcoin surpassing the 120 mark. That was about 12 hours ago. But he brings up a good point.

We've added Coinbase to the S&P 500. That's a 3-4 beta stock. I mean, it moves at two to three times what the S&P does. As we add more and more of these, This could actually add fuel to the S&P. You know, for Coinbase itself, it was put in the S&P 500 a couple months ago, and these are all 3.54 beta stocks. So when you're in a big bull market rally and a lot of your backing is the Bitcoin holdings or Bitcoin infrastructure, this is the bull trade of the century right now.

And, you know, this is after the happening a year or so ago, this is the bull market phase for this type of stuff. The bull trade of the century. Damn. Now, another analyst I follow closely is Fundstrats, Tom Lee. Tom Lee's been, I'm going to be honest, he's been pretty on the money, man, on some of his analysis. Now, a lot of people will complain that he's always bullish. Well, I'm always bullish, and the market goes up 70% of the time.

But today on Global Money Talk, Tom had this to say. Yes, yesterday on 3ProTV, I was explaining that it wouldn't surprise me if the stock market needed to consolidate. A consolidation means that it's not obvious that we go straight up. Number one, we just gained 25% in eight weeks. So we can't continue to go up at that rate. The second is that the U.S. Is considering intervening in the Israel-Iran war. And we know that there's this view about wars, which is you, quote, sell the invasion.

So meaning markets get nervous as war talk rises, but you buy the invasion. So when the U.S. makes the decision to intervene, now that could be dropping bombs or supporting, but entering the actual conflict, that's when stocks will actually likely rise because investors have been worried about it. So we consolidate into that event. And the third, of course, is that Fed Chair Powell just told everybody inflation's going to rise this summer.

So anybody who's been sitting on cash is going to say, I can't buy stocks until after the summer because the Fed told me there's inflation. So investors are going to wait. So those are the reasons why I think the market consolidates. But that shouldn't prevent you from buying stocks because let's say that you believe that at the start of this week. Well, Palantir, Tesla, Circle all did really well.

I mean, Circle started the week at... So Tom goes on and on, but Tom's, you know, like I said, he's pretty much bullish. He's bullish because his whole life the stock market has gone up. Same experience that I've had with the stock market going straight up. You know, we'll get into some banks. We'll see how the banks' earnings go. That should be a tell. I think the banks are going to do well.

I think there's a belief that here going into the fall and winter that there's going to be some rate cuts. If rate cuts happen, markets go higher, whatever, unless Trump some reason intervenes and stops it from happening. My message today is this is good stuff. Bitcoin heading higher, that's good stuff. that brings in speculation in the markets, but also that is becoming less and less speculative as more and more institutional adoption happens, okay?

You know, on the second income stream front, we've been doing well, printing money. I don't know about you, I've just been making money, you know, buying more shares, building out the base. And we've had some people do so well with this strategy, it's blowing my mind. But again, it is a strategy, okay?

We don't know what could blow it up in the future we don't know what could happen be careful watch your available withdrawal if you're in that strategy and don't be foolish and realize if you push it if you push it you could wake up and pay a price market moves against you you get margin calls you have to start selling shit at a loss okay keep that in mind. Please, please keep that in mind, okay? Other than that, in the trading front, we've done well. ENVX, over 50% profit.

Coin, over 100% profit. Man, we had a bunch of Kava, New Trades, McDonald's. We have a lot of new trades and a lot of trades that have been working. You know, my cash account, I'm up 111% on the year, but I don't take a lot of trades in that account, to be fair. Last time I checked, I was up 13%. And my SIS, second income stream, we call SIS for short, up 13% on the year while the market was up like 4.5 or whatever. So I've been beating the market by three.

Most of my IRAs, traditional IRAs, SEP IRAs, those are my typical buy and hold dividend portfolios. Those have been pretty much tracking with the market, except my IRA is pretty oil heavy. And I've been able to do some outperformance in that sector with oil, catching Chevron at the bottom. You know, we had some nice trades, silver. I took long positions in AGQ. It's a triple silver.

You know, over the last year or two, we've added a lot more commodity exposure and a lot more commodity watch to the money flow where we're keeping an eye on gold. We're keeping an eye on, and we've been along the UGL. I don't even talk about it because there's just hasn't been any good buying spots in my opinion, but we've been along gold. We, we track oil. You know, I've been keeping, I've been keeping a little bit of an eye on natural gas.

That's I consider that the widow maker a trade just kills me every time. So we'll see we're gonna go into earnings here keep some power be ready There's gonna earnings is the time that you can get stocks on sale Because you're gonna have people that own them They're gonna crash and they're gonna be DM and mean texting me thinking should I sell this stock?

What do you think you know They're gonna be saying these kind of things and the rest of us are gonna be looking at buying some of those stocks so this is the time make a list of you know, 3, 4, 5, 10 stocks that you wish you were in That you're not in You might get your chance coming up here in earnings Hey, if there's anything I can do to help, man. Music.

Hey, thanks for listening to the Science of Getting Rich podcast today with me, your host, Gerald Peters. Hey, I know today was a little more logistical, practical, real world stuff. Not a lot of mindset, but it's good to check in. I'm going to try to blend and mix the two of these so that we can take the book, The Science of Getting Rich, apply it to the money flow trading strategy and bring it to some real world applications so that we can day trade, swing trade, position trade.

Do our traditional buy and holds and do the second income stream. Let's do all of it. Let's become prosperous. Let's do the best we can. Hey, if you don't have my free ebook, you don't have to die broke. It's completely free. Simply go to geraldpeters.info. Oh, by the way, listen, merch drop. MFG merch is out. It will close July 25th. That will close the merch, okay? July 25th, we're going to close it. That's a Friday at three o'clock, no exceptions.

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