The last full trading week of 2019 slowly draws to a close and, with the holidays looming, people take stock and ponder the year that now lies behind them. To be honest it’s been a pretty rough patch for me personally as one health issue seemed to be chasing the next. And let’s not even talk about the political and social slow motion train wreck that’s been unfolding on both sides of the Atlantic.
Yesterday’s session was rather intriguing in that my early suspicions of distribution near ATHs in equities were proven correct. How so? Look no further than our trusted Zero indicator which continues to provide us important guidance since 2008 and counting.
Much to my chagrin the Euro has advanced to an inflection point that marks the possibility of a major break out to the upside. Why anyone would abandon King Dollar and instead bet on a fiat currency that’s practically lingering in its death bed while being kept alive via an ECB deposit rate of -0.5% is way beyond my pay grade.