Daily Newsletter 1/21/26
US financial markets rebounded today following sharp declines the prior day sparked by President Trump’s tariff threats related to Greenland. Major indices advanced after his World Economic Forum speech, where he ruled out forceful acquisition tactics, serving as the key catalyst to restore investor confidence. This uptick does not signal an easing of tensions; short-term relief may emerge, but persistent volatility is expected unless both sides adjust their approaches.
Yesterday’s Metals and Defense
The sharp rally in gold and silver from yesterday failed to extend as anticipated today.
To clarify, the medium-term bullish outlook on gold and silver remains intact. This stance rests on persistent dollar debasement pressures and unrelenting central bank accumulation, despite overcrowding concerns and technical challenges. Attractive entry opportunities have emerged for gold, and new positions have been opened.
Defense stocks traded mostly sideways following their extended prior run-up, though further upside is expected.
Portfolio Updates
Big bank and financial option positions have been closed after taking profits, with new positions now opened.
While the White House's "near future" statement remains imprecise, the new Fed Chair announcement is anticipated next week at the latest, or possibly this weekend. The Supreme Court's recent affirmation of the Fed's independence from political interference also influences these positions. In our view, the Supreme Court will play a larger role not only in tariff applications but also in the Fed independence issue.
New positions have been established in Argentina and CRK, with a fully bullish outlook on both: Argentina due to Mercosur developments and President Milei’s Davos event; CRK given its prime position in the Western Haynesville, which stands to gain as Permian depletion challenges intensify—CRK holds the strongest and most extensive acreage there among a select few producers.
OUR TRADES
We share all our short-term trades in the Tactical Portfolio exclusively with paid subscribers, showing the exact entry time and price for every trade below. Subscribers receive timely buy and sell alerts via chat. Our approach is eclectic, blending macroeconomic insights with a quantitative methodology. We do not limit ourselves to specific markets or sectors, seeking to profit from any short or very short trade that fits our strategy. We use sophisticated option strategies to capitalize on short-term market movements, ensuring full transparency and prompt exit updates.
Our option positions are presented using a single‑contract example. In practice, our portfolio includes positions with varying contract sizes. This approach allows you to scale position size up or down to reflect the strength of your market view.
