| You receive this email, because you signed up to get email from YellowTunnel newsletter on 11/12/20. If you no longer wish to receive any emails from YellowTunnel, please use the "Unsubscribe" link towards the bottom of this email.  February 14th, 2022 | Issue 117
Hello Traders, Welcome to the Yellow Tunnel community, an aggressive short-term trading service dedicated to all classes of traders seeking to elevate their trading skills, market awareness and trading profits.
The 2022 year has been anything but dull for traders. Volatility has been elevated with Omicron, trucker strikes, hot inflation readings, a robust earnings season, a possible invasion by Russia into Ukraine and supply chain bottlenecks that are persisting. Bond yields are pushing higher, the dollar ironically moving lower, crude oil is back above $90/bbl and rumors of an inter-meeting Fed rate hike are making the rounds.
Quite frankly, aside from St. Louis Fed President James Bullard's statement Thursday that he would like to see a full 1.0% hike in the Fed Funds Rate by July that triggered a late-day selloff, stocks have been trading pretty well on optimism about Omicron winding down rapidly and life at home and in the business world normalizing in the weeks and months ahead.
Hotels, casual restaurants, airlines, cruise lines, casinos, amusement parks, live venues and booking agency stocks collectively rallied this past week, where this third time of a breakout rally attempt may be the charm to get the reopening stocks to establish a meaningful recovery trend. Of these travel & leisure sectors noted, the clear leader has been the hotel stocks, some of which are trading at new highs.
The big question for traders to ponder is whether the market can weather the inflation storm and rising interest rates on the back of excellent sales and earnings growth, solid guidance and pent-up demand. The bullish narrative is that when the Omicron protocols are lifted at ports and distribution centers, supply chains will open up, and inflated prices for just about everything will recede.
Have a wonderful week ahead and let's create some meaningful wealth together in 2022... 
To great returns,  Vlad Karpel P.S. Please see below for access to the Power Trading Live Strategy Roundtable presentation I recorded on Thursday, February 10th. Click Here.
TRADE IDEA OF THE WEEK For traders that want to use a proxy for Bitcoin, Grayscale Bitcoin Trust (GBTC) is the asset of choice. It is highly liquid and accurately tracks the price of Bitcoin while maintaining the trading of Bitcoin in a non-crypto-related exchange, where cases of hacking and large-scale theft have occurred. The IRS is also tightening the reporting of cryptocurrency trading, and as such, active traders want to have security where the reporting won't incite an audit. Seeking Alpha laid out five reasons to own GBTC over Bitcoin itself. They include:
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CURRENT TRADING LANDSCAPE  There has been some technical damage done to the Nasdaq and Russell 2000, whereas the $SPY has recovered its key 200 DMA. The $SPY trades right around $449 and trades at the 50% retracement from 2022 low to high, key short-term support. The value/reflationary ($VTV) trades right above the 50 DMA. The technology sector ($QQQ) trades at $358 and just under its 200 DMA.
The $DXY closed flat, at $95.5, below the 50 DMA. The $TLT sold off and closed close to April 2021 low. The ten-year yield closed above 2.0%. The $VIX traded at the 24 level.
The $SPY short-term support level is at $440 (key long-term support) followed by $430. The SPY overhead resistance is at $460.
I do expect volatility to persist, but the pattern of higher lows and higher highs should continue to emerge. I would be a seller of the high beta stocks into the rallies and continue rotating the portfolio into the value stocks ($XLE, $XLI, $XME and $XLF).
I would consider rebalancing my portfolio at this time and have an overall market BULLISH portfolio. I do expect the $SPY's rebound to continue for the next 1-2 months. I do not expect the $SPY to post a new all-time high in the first half of this year. All eyes are on the PPI data next week...
SECTOR SPOTLIGHT  The high level of uncertainty in monetary policy, geopolitics and the devaluation of fiat currencies continue to support the long-term case for trading cryptocurrencies as an asset class that has huge present and future bearing on global markets. The use of Bitcoin, stablecoins and other cryptos that mesh well with the rise of blockchain platforms is broadening out, even as some countries like China have outlawed the trading and transacting in cryptocurrencies.
Those that profess to be conspiracy theorists will contend that the rise of highly regulated digital currencies is the eventual goal of governments, whereby every transaction can be tracked and traced in real-time. There are real pros and cons to this adoption and will likely be rolled out on a small scale in the next few years, but there will be plenty of push back from those that don't want the long arm of government to have that kind of AI-based access to every purchase a private citizen makes right down to a drive-through meal at McDonald's.
The only way to trade the actual crypto marketplaces is through Coinbase Global Inc. (COIN), one of the leading crypto exchanges. After trading at $429 in its IPO debut in April 2021, shares of COIN traded down to $162 when Bitcoin corrected to the low of around $36,200 last month and are trading around $200, reflecting how a lot of hype has come out of the crypto space where there is fresh big money interest resurfacing is not only COIN but Bitcoin and the rest of the leading cryptocurrencies...
NOTE: We encourage all subscribers to view the instructional videos on how to best use your membership and invite our members to participate in live weekly strategy roundtable workshops that are also archived for your convenience so that they can to be viewed at a later time.
TRADING CONCEPTS - VIDEO Ending The Boom & Bust Cycle and Sustaining High Performance Trading can be described as a journey, a journey where many traders never come close to realizing their true potential. Ending the boom & bust cycle is a part of every successful trader's journey. In this webinar, Dr. Menaker will share, based both on his own trading experience and coaching with very successful traders, how to move beyond the boom & bust cycle in your trading journey.
DISCLAIMER: Vlad and his team may have a financial interest in the picks as they trade many of the same equities and options they pick. Vlad Karpel and YellowTunnel (Company) is not an investment advisory service, nor a registered investment advisor or broker-dealer and does not purport to tell or suggest which securities or currencies customers should buy or sell for themselves. All investing strategies are made available to the general public on a regular basis. We do not provide personalized financial advice or investment recommendations. As an investor, you know that any kind of investment opportunity has its risks. There is no such thing as low-risk stocks and we recommend you invest wisely and that only risk capital should be used to trade. Investing in Stocks and Options is highly speculative. No representation is being made that the use of this strategy or any system or trading methodology will generate profits. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed here and on our website. PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE SUCCESS: It should not be assumed that the methods, techniques, or indicators developed at YellowTunnel will be profitable or that they will not result in losses. Nor should it be assumed that future picks will be profitable or will equal past performance. All of the content on our website and in our email alerts is for informational purposes only, and should not be construed as an offer, or solicitation of an offer, to buy or sell securities. Remember, you should always consult with a licensed securities professional before purchasing or selling securities of companies profiled or discussed on YellowTunnel.com. Performance results that are discussed above are from the Live Trading Room, multiple YellowTunnel tools were used to achieve these results. Trade % Gain/Loss is calculated by dividing the $ Gain/Loss by the Max Risk which is the posted Stop Loss for the trade. Yellow Tunnel's performance data represents the average return on all trading recommendations from January 1, 2020, to Today. *Win rate percentage reflects average that Yellow Tunnel's software helped me identify a profitable investment strategy.** Triple-digit returns are not typical and are not intended to reflect the likelihood of similar returns in the future. This email was sent to edwardlorilla1986.paxforex@blogger.com by info@yellowtunnel.com. Questions or inquiries regarding the website and/or service may be submitted via email to info@yellowtunnel.com. You may also complete our inquiry form located here.
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