EURCHF (weekly info)-no change
trend=no
direction=down (1 bar)
low= 1.2172
rev= 1.3140; mid= 1.2656
The proxy for risk in the eurozone tried to show strength but only was able to form a bullish thrusting. So the move lower should continue after they hunt for a few stops.
USDJPY (weekly info)WEEKLY CONFIRMATION new low 80.20
trend=no
direction=down (2 bars)
low= 80.20
rev= 84.80; mid= 82.50
Try as they may but this cross is quickly making its way back to the lows after the devastation in Japan. It closed the week below its 61.8% retrace. Japan may have to hurry with its form of QE because I don't think the other countries are in a position to help this time.
1298.12 didn't hold (the 61.8% retrace of the monthly 3LB range). Up next is 1282.65 (the 76.4%).
ReplyDeleteC, BAC, JPM and WFC all down at least 2%. Gold rushing back to its previous high. Silver in agreement. BTD crowd spotted trying to catch knives.
ReplyDeletehttp://www.hussmanfunds.com/wmc/wmc110606.htm
ReplyDeletequote:
So while the Fed has been successful in fostering speculation, further impoverishing the world's poor through commodity price increases, and subsidizing banks by driving funding costs to zero (at the expense of the risk averse and the elderly), QE2 has clearly failed from an economic standpoint. This failure is not because we haven't given it enough time, or because monetary policy works with a lag. Rather, the policy has failed because it focused on easing constraints (bank reserves, short-term interest rates) that weren't binding in the first place. Very simply, neither the Fed's policy, nor the fiscal policy initiatives to date, address the central challenge that the U.S. economy faces, which is the debt burden on households.
MUST...NOT...CLOSE...BELOW...APRIL...LOW...OR...ELSE
ReplyDeleteWeekly 3LB reversals: DJ Trans Avg (down), XRT.
ReplyDeleteWeekly 3LB confirmations: Yen, CAT.
New lows: 30yr yield, 10yr yield, Lumber, XLF, JPM, BAC, BKX.
New highs: MUB
XRT is down
ReplyDeleteAnyone? Anyone? Bueller? Anyone?
ReplyDeletesummertime blues?
ReplyDeleteI guess they're all watching Steve Jobs :-)
ReplyDeleteThese flashes lower are probably making the bulls extremely nervous...
ReplyDeleteRa,
ReplyDeletesorry not around much today, busy day.
CAT sub $100 today though I see
noice.....
If SPX fails to hold the April low (1294) the March low (1249) is the next support. After that it's the November 2010 low (1173).
ReplyDeleteJNK, HYG, LQD, TIP, MUB lower on the day. IQI, AGG holding on to small gains (for now).
ReplyDeleteHYG/LQD had another weekly low and is now trending down on the weekly 3LB.
ReplyDeleteTICKS continues to make new lows as the day progresses.
ReplyDeleteBAC now below its monthly 3LB mid (10.90) as the trend down on the weekly 3LB continues.
ReplyDeleteHere they come to save the day...
ReplyDeletehttp://www.youtube.com/watch?v=GYpBoYa4pno
The "GMTHO" orders should be hitting right about now.
ReplyDeleteQuite a bit of selling as the market settles as TICKS stayed negative after the close.
ReplyDelete"New thread up" said Crusoe
ReplyDelete