Bitcoin down 28% as cryptocurrency regulation debate heats up.

all right good morning trade pros and welcome to our morning live session for Thursday December 28th of 2017 it's Thursday means it's hockey day for me and my legs a Quadra very sore today what are we gonna talk about her morning worth it update we're talking about shares and how they've performed how markets have done overnight obviously we're also gonna talk about the US dollar and Bitcoin so to be a little bit shorter today but little bit more in depth less topics or more depth to them all right so let's get started today's market in Asia Japan is down six tenths of a percent Hong Kong is up one percentage point China's on 0.6 India's down two tenths of a percent so we're getting mixed markets weakness in Japan straight or a slight strength here in Hong Kong it's you know it's like 1% a really good rally in Europe and midday London's flat Paris is down point two and Frankfurt solvers also down point two so a little bit of more muted markets or along Europe more sideways and less volatility throughout them they finish slightly weaker but not that big of a dramatic event it's not a big deal all right our futures nature Dow Jones is up points us in piece off point one Nasdaq some point to crude oil is 0.2 percent as well and gold's up point 2 percent something about this point 2 percent that the market likes for some reason slow overall all right so equity markets are gonna start to grind down to a little bit more of a of a halt through the next two days then tomorrow as we close out 2017 it's been a fun year it's been great we've had a big rally Nasdaq or Dow Jones is if it hits 25,000 it's gonna be on track through 25 percent rally in one year that's phenomenal it's on the back of the Donald Trump residence there right the Republican hype it's on the back of tax reform which finally passed um there's a lot of excitement that's built into the market on things that have already happened and with federated last rate hike in December that's pretty suppression on the dollar that give us a little bit of a catalyst to equities and commodities rally but what we're saying here is there's no the trend is clearly up but it seems local volume seems weak so today before I get any further I want to tell you I'm gonna echo the same advice from yesterday that I'm a broken record but broken records are good sometimes they help you really know a song well so you're late that you cut your trading size down what do I mean if you used to trade six Lawson has to be trade three today reduce your trading quantity or the size of your positions by half and trade half the positions in total so less volume less frequency of trades and unless position size will really get you through these days very well you should still be able to hit your profit target with that kind of discipline all right it might take a little bit longer but that's okay it's your job to watch the market and only execute whenever there's a high probability trade you're not trading for the sake of trading you're trading to make money the trade to make money you got to minimize risk and be patient discipline does alright um let's get into the US dollar today actually there's some news event covers well initial jobless claims this morning came about at two hundred and forty five thousand versus two hundred forty thousand expected continuing claims one point nine four million versus one point nine nine I expected so more people are filing for unemployment insurance than expected that's actually kind of a negative number that came up this morning so pretty negative not a massive increase versus expectations but it's increased on the last now Coupole that with international trade in the morning that came out at 8:30 we had a minus sixty nine point seven billion imbalance versus minus sixty seven point nine so reverse those numbers that reversed but inverse some of them and you kind of get that the same number but what we're saying here is the trade deficit is actually widening it's not narrowing now here's why the exports increased which is really good is it's exporting more of their stuff however imports increase to a larger extent so despite the fact that we're the u.s. getting more exports out there into the global economy they're importing even more than they're exporting so that's why it's a negative trade balance number that's not good Donald Trump's not gonna like that that's just she ran on that platform that agenda and it looks like the u.s. confused the sort of importer more than they export them for more than they produce and widening their trade deficit alright 10:30 this morning we got the natural gas inventories and at eleven we have the Department of Energy oil inventories this is going to be a blockbuster day for energy traders we're gonna be trading a lot of that we usually usually come out on Tuesday and Wednesday but the reason that they're pushed forward one day is because Monday was a holiday in observance of Christmas and therefore now those reports get pushed forward and then now have to occur on the same day so 10:30 you get natural gas 11:00 a.m. you crude are a very exciting day for energy traders those two reports can make up your whole month if you trade them properly all right and we are gonna trade them in the trade room all right I'm the US dollar today it slipped to as Oh the rest of stuff yeah we have a twenty eight billion seven year no adoption at 1:00 p.m. right so no change anyone's game if you're a bond trader maybe if your bond trader Duffing less than that the US dollars next to slipped as low as 90 to 36 all right the weakest level in three months on the US dollar front here's why everyone says why the dollar dropping your traders have been longest dollar for so long all year they've been expecting what are they expecting tax rate or tax rate drops the GOP tax that in the past I've been expecting that all right check they got it what else is living expecting they've also been expecting to see the feds December rate hike which is bullish for the US dollar check they got it the Fed said it's gonna be two to three rate hikes in 2018 check they got that they got everything they wanted and when a trade becomes everything that's priced and has already been priced in and you got everything you wanted as a trader and you're riding a high it becomes hey sell that thing to take some profit now rallies get sold off to for profit taking then on the way down and that profit taking it wipes out the retail traders stop will bar that right at the top inevitably there's always people who buy it at the top otherwise it wouldn't trade at that price all right so now I know it's not you guys but there is retail traders out there who are less trade pro inclined that follow their motions trade with their motions with their heart on their sleeve and unfortunately that's when the Wolves come out to eat the Sheep so here's a head tell you um the dollars down nine percent this year it's probably the worst slide it's on pace for the worst slide since 2003 but it's just profit taking on a trade they got a little bit of ahead of itself all right the dollars week look out for that that's how sustaining a little bit of asset prices higher I'm throw oil throw as well and throw equity markets alright Bitcoin onto the main event of today bitcoins down 28% from last week's high alright it's officially a bear market for any other asset that observes the laws of gravity that constitutes a bear market Bitcoin can escape this it could be up to new all-time highs by the end of the day today's trade and I wouldn't be surprised I'm not surprised at anything a Bitcoin does at this point is mainly it's its manic its euphoric there's a lot of money coming in that isn't how do I say this nice it isn't first a trading isn't Versailles participating in this type of price action is inverse in markets and unfortunately those things don't tend to end well always sometimes revolutions happen and Bitcoin could be one so I'm on either side of the fence I agree with both parties that have friends we're very aggressive on both sides of the opinions I just like to see what we get and trade it that way I don't mind could be I like to be right but I don't look to be right in the market I like to be profitable such a big difference you start you take this thing inside your heart that says you have to be running all the time you throw that thing away you show up at the market you can do a great job I promise you guys all right South Korea puts pressure band some Bitcoin exchanges they write bad some of them and that's what they're looking to do with the regulation why does that matter South Korea's are pretty close ally to Japan Japan accounts for about 24 percent of all cryptocurrency transactions in a couple years back when it wasn't as popular of a product did you know Japan was actually or Asian countries in general as a block which is a massive population in the world accounted for 80% of all Bitcoin trading that's where that product became popular first all right the continent of Asia and then spread over with the hype over here so South Korea is the first as well to start putting some real extreme pressure on here's what they're saying they want to be a bit banned Bitcoin that's a bit of a tongue twister and they says irrationally overheated market and it advanced some exchanges out ready outright and stop allowing banks to issue digital accounts you can imagine a country saying they're gonna stop allowing their national banks to issue digital accounts just for Bitcoin that's a pretty strong stance to take and then on that news Bitcoin drops as much as nine percent overnight and it's been a little troubled since I've been seeing I'm gonna say be careful on Bitcoin Bitcoin I'm issuing a be careful alert the thing that I kept everyone into it has now kind of scared investors essentially so what's happening here is absurdly self regulation and oversight starting to come in not just from South Korea but across the world as we start to see these stellar officers started to see high volume look at the volume at the bottom of your chart bottoms increasing on sell offs and decreasing on rallies that's the turning point or the reversal of a bullish market that may slip into the bearish market and if you're holding for the long term then you don't care if you're gonna buy more but if you're a trader I'm gonna say start looking to trade the week and I started to sell rallies in this thing and be very cautious um if you're gonna short Bitcoin though I would probably say don't be careful I wouldn't trade Bitcoin I'm looking at on the futures markets there's not enough volume there's not enough there's not enough market making there's a lot of traders participants and make it worth my while we could do a trade for Academy the same volume of returns as Bitcoin can with a lot less risk and far less capital using futures far far less capital that's the beauty of trading like a trade pro is you're utilizing mechanisms of professional traders use make literally whatever they want to make millions of dollars from traders may depending on how they trade what size it take but it's far more possible to achieve your goal of trading full-time with a lot less capital trading any of these markets in comparison to crypto currencies crypto currencies are starting to attract the kind of money that's looking to put two dollars down into their cryptocurrency account and make five million dollars alright and I know how that ends unfortunately I've been around long enough to see how that ends this time might be different you never know but be careful we started transitions a little bit of bearish price bearish price action keep an eye out on it not saying style everything you got I'm not saying buy here I'm just saying be cautious tread carefully chin up and look around you and always be aware of what's happening take care have a great day I gotta get into the trading room hello verbose it's more hands more update bitcoins down dollars down equity is holding gains gold holding gains Noddy gasps 10:30 crude oil have been huge opportunity today massive huge see you guys small morning a 9m all about take care have a great day and surely get reprimanded your wrists there there's no need to be able to doing 30 trades new best achieve more with less that's the power be the trader thinking about our trip Rose I'm going to show you the trading journal I was talking about here at some point today as well let me just shut down the broad

3 thoughts on “Bitcoin down 28% as cryptocurrency regulation debate heats up.”

  1. Sorry for the audio issues guys, I'll get this sorted out next week – we're moving to an office anyways and we'll have a better audio setup.

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