Below is a chart and brief excerpt from today's Early Look written by Hedgeye CEO Keith McCullough.

Ok, so how do we hedge the risks associated with an eventual economic Phase Transition out of Global #Quad2? That’s easy:

A) AFTER things go up, we sell-SOME…. And
B) We sell-MORE aggressively as we run out of time and space and/or break @Hedgeye TRENDs

Yes, there’s an embedded risk management #process in seeing the market for what it is. It’s implicitly designed to impose the most amount of pain on the largest group of unprepared people, all at once.

Example: #Bitcoin:

A) Whoever saw the top-end of the Risk Range™ Signal sold-SOME > $62,000…
B) Got out on the @Hedgeye TREND Signal break-down at $49,034 in May… and
C) Bought-SOME back yesterday at the low-end of the Risk Range™ Signal 

Oh sure you did. Yep, that last part I explained live on The Macro Show yesterday when the price was at the low-end of the Range and the crowd was busy whining and crying about it.

I said I was going to buy 25-50bps of it (bps are basis points of my hard earned capital at risk). And I did. I’ll be happy to sell all of that anywhere between here and $38,024, or not. What do I care about what other people think about that?

CHART OF THE DAY: Yesterday's Bitcoin Bounce - cod623