Folks, go ahead and sell everything. Now That is what a lot of major institutional players are doing right at this moment or are positioning to do more of today. We're going to be talking about the historical significance of the correction we just entered into when looking at long-term data. What does that suggest is going to happen next? Why are funds selling number two? We're going to talk about a new trade that hedge funds are piling into in mass.

and number three, we're going to talk about a big Catalyst that's going to be happening tomorrow, how to prepare and what to expect. Let's go to get right to work and today's video is brought to you by the Halloween 65 coupon code which will get you 65% off zip Trader you membership. It's a onetime fee and it will give you access to our step-by-step lessons which are about 10 hours. our daily morning briefings on different Catalyst that we see each and every Market open morning.

We've had some big Runners as of the last couple of weeks, which we've talked a lot about and of course our private chats and other resources that you can learn more about with that link down below. Okay folks, so we are entering into a critical time for the market. As of a few trading days ago, we hit the official definition of a correct which means dropping down 10% and when you h a correction, you enter into a new paradigm in a market where fund managers and Alos are looking at historical correction data to judge their next positioning and their next overall moves. and if you look at the corrections from 1950 to 2022, there have been a total of 22 Corrections and the average days to bottom during a correction is 4.3 months or 132 days.

Only 96 days in Corrections Happening since 1993 the last 30 years and out of the 34 correction declines experienced in the last 34 years, only 12 turned into bare markets. Which means that if you're in a correction, there's a 35% chance that you're now going to head into a bare market. Now here's the thing though. if you're looking at this data, these are marked from the beginning of the correction and we are already about 93 days into the current one.

Which means what? Well, it means that there's really just two scenarios that people got to be factoring in right now and they have to pick one either scenario. A We are almost done with the correction and about to bottom. Since the average correction days to bottom are 96 and we are in the 93rd Day or B we are going to enter into the 35% of declines that turns into longer term bare markets that go on to sell off significantly more. So right now markets are trying to figure out is it A or is it B During the last Bare Market that started in the beginning of 2022, you had this consistent downward Direction permeated by big but failed reversal attempts.

This time around, reversal attempts haven't been nearly as poyant, and the downtrend is even more consistent, suggesting more unanimous support for the selloff. Now, if you break up previous downtrends from last year by segment, well, you had a 133% sell off, a 20.83% sell off, and then a 16.91% selloff. So following that same logic if this turns into a broader bare Market you could easily see another fake out reversal attempt before the bigger leg down. Now you pull up the heat map for the overall.

Market Over the last 3 months, it's really, really easy to see where money is Flowing out of and quite frankly, there's only a few places where money is flowing into at least in terms of the stock market. money is Flowing out net when you're talking about technology Communications Consumer cyclical, consumer, defensive finan financials Industrials The only areas where you're seeing any Capital fly in is into a few Healthcare stocks and certainly energy stocks. But other than that net, you're getting a lot of withdrawals from the overall market. now.

people will look at the last couple of days and they'll say hey, Charlie stock market's going up. That means everything's good. But folks, you got to keep in mind that this is a trend game, right? Nothing is ever straight down or straight up. so you got to be very, very careful when you're analyzing a day or two of trading when you have a 3month downtrend.

But besides the massive selling that you've had in the overall Market Market Well, you're also getting a lot of Short Selling A lot of people a lot of big funds betting against the market. from Reuters Quote: Global macro, hedge funds are now bearish on equities, leaving behind bullish bets, which were part of their strategy for most of the Year while Commodity Trend Advisers CT increased their short positions. bar Clay said in a note. So right now, you're increasingly in the situation where as markets have plummeted and broken lower and lower, while you're seeing more and more hedge funds bet against them.

Why? Well, first of all, when markets sell off, they become more and more and more easy to Compound on. It's a lot harder to time a short position on a stock market that just keeps going up and up than it is to follow the crowd as it's going down and again. This is all happening in a broader context, which is chilling for financial markets. When you're talking about the Middle East when you're talking about Ukraine when you're talking about different geopolitical issues, All Around the World in terms of drisking ahead of China so on and so forth.

Well, you're in a market that's very, very ripe and easy to sell off, and we haven't even touched on the FED Next: I Want to talk about a new trade that hedge funds are piling into in Mass So you take a second and you pull up the charts for Uranium It just broke past last year's highs and now is heading into an entirely new realm. And with that, hedge funds and money, managers everywhere are jumping on the bandwagon from Bloomberg The Berg of Bloom Tera capitals Matthew Langsford Segra capitals Arthur Hyde Agronaut Capital Partners Barry Norris and Anaconda Invest renald saler are among managers, building bets on uranium companies such as Cam Corp Energy Fuels Inc Your Energy Inc and Next Gen Energy Limited Langs Ford who runs a $110 million Natural Resources fund at Sydney based. Ter Capital says the outlook for Uranium prices means that equities could see dramatic upside: 50% 100% possibly more. Now, what is even the thesis for being bullish on uranium? Why would anybody be bullish on uranium? Well, well, you see folks, you need uranium for nuclear power.

And nuclear power is a key way to get to that so coveted Net Zero standard, a commitment that many, many countries have made for better or worse. And as a result, the International Energy agency is estimating that Global nuclear capacity needs to double by mid-century from 2020 levels in order to meet all that demand. Now here's the problem: There's nowhere near the supply needed in order to meet all of that demand. and so a lot of people are putting money into companies.

and in terms of the commodity itself, knowing that companies that can actually extract this or have reserves of it are going to make out like Bandits What are some examples of ones that hedge funds are looking into or putting money into? Well, Ueec is one. They have some 11 hedge fund holders. Ueec is uranium Energy Corp and it explores extracts and processes your uranium and titanium concentrates. In the US Canada and Paraguay they are both set to break out past 2022 and 2021 highs.

Their balance sheet is debt-free Another Arbitrage that hedge funds are playing right now is for use you, you, you and you for Energy Fuels Inc They have about nine hedge fund holders and they are an extractor and exploration Uranium recovery play based in the United States and then you have overall uranium. ETFs Like &m Now I'm not saying that you should trade this new trend or not, but what I am saying is this is what the hedge funds are doing and while long-term trends suggest more and more demand, Well, the big reason that they are allocating to uranium right now is in my view, not just because of the demand side, but also the supply side. There's a lot of countries that have growing Rifts between them, there's a lot of trade tensions that are growing and all of those things are going to create more and more supply side issues for Uranium which again is going to drive up the price for Uranium the commodity as well as companies that can easily extract it or at least have the availability to do that. If all of those things come true, you can expect a really, really heightened price.

Okay, let's cap off this video with the next event that's coming out and that is tomorrow. We're going to have the next Fomc press conference and next rate hike decision and further projections. All the things that markets are going to be watching and paying attention to very, very closely. If you look at the lovely probabilities, it is expected that rates will stay the same in the 525 to 550 basis point region.

Interestingly enough, as you head into future Fomc meeting dates like March 2024, you're starting to see more in the market, factoring even further rate hikes into 550 575 or even the 600 basis point region which wasn't a thing before as people were widely expected that by the end of 2023, you'd start seeing it go down. But now we're seeing. hey, we're staying higher for longer and if inflation comes back and Roars again, well, all of a sudden you're going to have another situation where the Fed's like H Maybe we should raise some rates. So what markets are going to be looking for tomorrow is the Fed stance on current labor market and consumer conditions versus the seemingly sedated inflationary Trend that we have right now.

Markets right now are worried that if the FED backs off in any any meaningful way, you could see an Abrupt reemergence of inflation and they are going to want him to quell some of those fears while also not spooking the market too much in terms of stocks to watch heading into that. Well I would say vix vix vix vix vix vix trackers Uvxy specifically look for a breakout on Middle East escalation as well as unexpected fed rhetoric pivots so on and so forth. Anyways, that caps off today's video. Make sure to take advantage of that 65% sale on zip Trader youu coupon code Halloween 65 We'll see you in the daily morning briefings tomorrow morning.

If you join us, have a good one. We'll see you in the next video.