Gold has corrected a fair bit recently. It is now at an important juncture. The daily charts of Gold show that it is a trendline support which goes back a few years. How gold behaves at this trendline will give…
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Commodities showing divergence
Commodities are showing some hints on the chart that the rally may pause for some time. Divergence is the hint. The daily chart of DBC Commodity index is showing divergence with RSI. This can cause the rally to pause or…
Junk Bonds showing risk appetite still positive
Junk bonds are the best indicator for risk appetite. See the relative chart of HYG vs TLT. In the past a divergence of this ratio with SPY has been an early indicator of a fall in equities ahead. Currently there…
Bond Prices showing divergence
TLT which is the 20 year Bond ETF, is showing a divergence on daily charts. Bond prices going up could be bearish for Equities. This theme is critical and needs to be monitored closely.
Crude breaks 50 day moving average
Crude has had a small correction and is testing its 50 day moving average. This is not to say a bear market has started in Crude. It is structurally bullish as of now with the 50 day above the 200…
