Australia Yield Curve Inverted…signals weak growth
Australia's yield curve is inverted, which in the bond world speaks to weak growth. The Aussie curve is also a proxy for China…so it signals weak growth going forward for China.
Head & Shoulders on the German Dax
the 30 minute chart of the German Dax displays a clear head & shoulders pattern that if it works out has a final target just at the September lows. We don't see a clear entry signal however unless the index today closes below 5750. correlation across assets is very high at the moment and the […]
Morning Thoughts November 21
Note the key levels on all the charts (accross asset classes) below. Our game plan is as follows: Should we close well below all these support levels we would then expect a relief bounce that we would short. If we bounce today and don't close below those support zones we will have to measure the […]
When Are Italy’s Debt Payments Due? Important Charts
Note the big bond repayments due in 2012 and 2013…which is why Italy 2 year debt only yields 50 bps less than Italy 10 year debt The Italian Sovereign debt curve is shown below in orange…compared to the Euro Swaps curve in white.
USD/CHF might have further upside still
The Swiss are still doing much to devalue their currency, especially against their main export currency, the Euro. Note however the recent strength that the USD has shown against the Swissie…it the recent resistance zone near 0.93 can be overcome then parity may not be out of the question within a few months.
Global Workforce Aging…
Morning Thoughts November 18
With yesterday's selloff stocks and other risk assets came to important support levels. Yesterday's session came on good volume although not great volume…and the SPX found support at teh 50 sma. Some stop losses certainly triggered, the question is if that was enough for longs to get the upper hand again…we shall see. On the […]
very little to report
there's so little to report I might as well not write anything…which is essentially what i'm doing here… yes it's a risk off trade but note that support at the 50 sma on the SPX and the 1200 level isn't far away…not saying it will hold, just pointing out levels banks are holding up a […]
Why isn’t the Euro falling much more?
Here are a few reasons: u.s. yields are low potential qe3 in the u.s. european citizens repatriating money to meet margin requirements
They call it the ‘Pennant’ in the S&P 500
I've discussed this multiple times of late but it is worth repeating: technical levels, formations, and other charty stuff once it gets recognized by the mainstream financial media most likely won't work out in a classic way. So, if we consider the media attention the the current pennant/narrowing trading range/triangle…whatever you wanna call it…has gotten, […]