Good afternoon everyone. We hope you all had a great Independence Day weekend. Too bad we were all welcomed back to the trading week with a sizable stumble from stocks. Thing is (and we talked about this a little last week), not every stock is fighting a losing battle with a bearish headwind. Traders are finding a few stocks they still think are worth owning, and Double Crown Resources (DDCC) is one of them. We showed you how it was testing the waters of higher highs last week, and it pushed further into new-high territory today. Take a look. Once again pushing up and off of the 100-day moving average line (gray), today the stock managed to log a net gain of 6% and close above the 50-day moving average line (purple) at $0.14. It's still not above the 38.2% Fibonacci retracement line we'd like to see it clear to get overly excited about the upside potential, but we're close. One more good day could do the trick. With all of that being said, what's most compelling here is the volume behind the recent gains. There's lots of it, and it's growing. That's just what we like to see for budding uptrends.... more and more participation. That's what will keep the rally going. Anyway, this market continues to vex. In Friday's edition of the newsletter we borrowed some perspective from the Elite Opportunity Pro's John Monroe, trying to figure out why bonds AND gold AND stocks were all rising. Only two of the three should be moving in the same direction at any given time. Here's the recent history on that front. While it can't be said we've never seen all three move in tandem, we've never seen all three move hand-in-hand for very long. Today's perspective is a little follow-up on that premise, once again tapping into the brilliant mind of John Monroe. He explained to EO Pro members today: "I've included three charts below, a daily chart of the S&P 500, a monthly chart of TLT, the primary ETF tracking long-term bonds, and a monthly chart of GLD, the primary ETF tracking the price of gold. As you can see, while the S&P 500 made back all of its prior week's losses last week, the index has pulled back to kick off the short trading week. [image removed by editor] All pretty orderly considering the strength of last week's move, so assuming the index manages to achieve either of the retracement levels you see here, which sit at [removed by editor] respectively, that's where we'll find out whether or not the markets are going to make new highs soon or not. In other words, we'll likely see a little more downside before the major indices could be in a position to pick up where they left off last week. It would be at either of those levels we could potentially get long some bullish leveraged index ETF's, but not any sooner. I mentioned last week we're pretty much throwing the fundamental landscape out the window for the time being in favor of the technical picture right now. And, if what we're seeing with long-term bonds and gold plays out the way we think it will as soon as this week or next, any potential reversal in both of these monthly charts could help assist stocks across the board... ...Considering the fact bonds have rallied, all while stocks have continued to rally, most definitely suggests if bonds decide to repeat their long-term patterns, a potential breakdown in TLT could be all systems go for stocks." There's more John had to say - obviously - but you get the gist. The rest of the story is, treasury bond yields plunged to a record low today on what was described as "insatiable" demand for safety. Have we really gotten to that point now with stocks? I just can't believe now is the point in time where stocks are so un-ownable that traders just have to own bonds at stupidly-low yields. That degree of pessimism is actually a huge contrarian buy signals, but that's another story. For today, here's how bonds and yields have moved from a predictable trend to a ridiculous extreme. Here's the weekly chart of the same, for some eye-opening perspective. You'll also notice that bonds and yields are both at a key resistance and support line, respectively. It just all seems like a setup for an extreme reversal of these trends. If we do get that reversal from bond prices, what's going to go up as a result? Stocks? Maybe, but as we've discussed a few times already, the equity market has a valuation problem. Gold? Maybe, but as John Monroe also pointed out today, gold is at what could easily turn into a ceiling that pushes it down again. And even if gold does hurdle this ceiling and move on to the next one, the next ceiling isn't leaps and bounds higher. It's a conundrum. I'll just add that the Elite Opportunity Pro has its finger on the pulse of how this crazy market is transitioning. John's just about the best there is in terms of turning these situations into specific trading ideas. I'm sure glad I have the power of EO Pro at my fingertips.