Through all of this volatility, chop, intraday and day to day emotion a few things seem to be standing as fact: the range we were looking for early this week developed; several head fake moves that we would expect before a reversal in the averages and some key stocks took place; despite horrible earnings and really bad after hours reactions, the 3C signals that were strong on stocks like AMZN were vindicated so hopefully we'll see the rest of them move as they are hinting they will.
Stepping back from the day to day and intraday, the leading indicators for this week have all held up as did the longer term 3C charts.
FCT as a leading indicator vs the SPX (all comparisons are to the SPX in green) is leading positive during this week's range.
Yields are leading positive at this week's range area.
The $AUD is also leading positive at this week's range or what might be considered the pivot.
The Euro is also leading positive
HYG Credit is the same
As is junk credit.
In to the EOD today the defensive sectors are falling off, Discretionary, Tech and the momentum packed Basic Materials sector are all moving in to rotation.
No comments:
Post a Comment