After giving out signs of fatigue several times in the past couple of weeks, the Nasdaq dropped 1.5 percent Tuesday, losing the 50-day. More downward pressure is likely near term. At the same time, it is possible bears will end … Continued
The bull market is more than a decade old. Several metrics are at/near record territory. The energizer bunny keeps marching on. In recent sessions, bulls have faced difficulty taking out 3020s and may need to defend breakout retest at 2940s. … Continued
Following futures positions of non-commercials are as of September 17, 2019. 10-year note: Currently net short 230k, down 70.5k. In the interbank lending market, there were two developments this week. The Fed cut its policy rate by 25 basis points … Continued
Major equity indices are within striking distance of new highs. The bull market has come a long way, sending the ratio of S&P 500 market cap to nominal GDP to near record territory. Unwinding is a matter of when, not … Continued
For the second consecutive month in July, foreigners were net purchasers of US equities, not sellers. They bought $24.3 billion worth, followed by $26.4 billion in June. This preceded 13 straight months of selling. On a 12-month basis, foreigners are … Continued
Major US equity indices are a stone’s throw away from their respective highs. Daily momentum indicators are extended. Breakout retests are the path of least resistance. The FOMC meets this week. A 25-basis-point cut to a range of 175 to … Continued
Following futures positions of non-commercials are as of September 10, 2019. 10-year note: Currently net short 300.4k, down 77.4k. The FOMC meets next Wednesday. In the futures market, the odds of a 25-basis-point easing currently stand at 80 percent. This … Continued
Bulls have managed to wrest control of momentum near term. Bears had an opportunity late July-early August when in seven sessions intraday the S&P 500 lost 6.8 percent. Bulls put their foot down near crucial support just north of 2800. … Continued
Last week, major US equity indices enjoyed mini breakouts. A retest took place Tuesday. Post-breakout, Investors Intelligence bulls jumped 5.1 percentage points this week to 50 percent, but they remain way below the 57.2 percent recorded in the week the … Continued
Gold has regained its shine. Sort of. In the past three months, the metal has rallied 23 percent. At the same time, it is running into important resistance, including Fibonacci and eight-year horizontal. The metal likely takes a breather near … Continued