If you still pay any attention to the incessant clickbait peddled on perma-bear frequented watering holes like ZeroEdge then ‘thank God it’s doomsday’ has probably become your daily maxim since back in 2010, give or take a year. Most likely you are either not a trader or were eventually forced to give it up after watching your account being taken to the woodshed on several occasions. To the more nimble and reality focused rest of us this does however not mean that we should let ourselves grow complacent. After eight plus years of almost continuous upside advances the question bodes as to how much upside we have left here before we’re forced to endure a deep [...]
We have movement across the board and I regret not being able to post yesterday as I missed out on several juicy entry opportunities. Unfortunately life sometimes (or always as I was reminded by a loyal contributor) takes precedence. Nevertheless our daily routine over the past few years hopefully prepared you sufficiently and allowed you to take advantage while the getting was good.
We’ve got movement across the futures this morning which gave a much awaited boost to our sugar and soybeans campaign. I am the first one to admit that these types commodities contracts may seem a bit exotic to the average trader but in my experience they are a lot less painless than equities that most of you have been told are a ‘relatively save asset class’. That always seemed strange to me as I have seen stocks go to zero many times in my trading career, but I’ve never once seen it happen with a futures contract
An early rising (or European) steelrat asked me about a possible correlation between the USD and treasuries this morning. It seems that the old greenback may just have another lease on life and if it can create headwind on the futures and equities side then will it do the same for bonds? Or will it be supportive as a related shelter from a much overdue correction? Well, this really isn’t too hard to figure out via a ratio or left chart.
I simply dropped an inverse (use the minus sign ahead of the symbol in stockcharts) signal of the 30-year treasury yields ($USDT30Y) against the $USD. What do we see? It seems to be correlated in that a stronger dollar appears to [...]