Just trying a new idea with a few of Chris Moody's Scripts.
Bitcoin has not been able to gain much momentum in either direction after rebounding from the recent low near $150 per bitcoin. As indicated by the yellow rectangle, price action on the 4H chart is in tight consolidation. Price is also resting on an ascending trend line on weak momentum. A close below will likely cause further selling, although lower support...
The GLD has seen inflows increase since the SNB debacle, up 1.57 percent today. If anything was learned last week when the Swiss National Bank (SNB) unequivocally shocked the markets is, gold is the ultimate central bank hedge. Gold has always been a go to during times of uncertainty, but it is the simplest way to hedge away currency and counter-party risk; and...
Gold is up 9 percent YTD. Gold is on a tear since I warned that negative price action was waning on January 6 (here). Gold has been able to overtake the $1,240 per toz. hump and chug along on global growth concerns. The IMF, just among the bunch, lowered the outlook for growth prospects; and the second largest economy – China – is pulling back, down to the...
BTCUSD is down nearly 82 percent since its bubble-top in November 2013. Can anyone really fault the decent, being that we are talking about bitcoins relative to the dollar with the dollar index at decade highs? We've see a SHARP move in negative volume, which is typically followed buy quick buying (BTC is seeing that now). The move could challenge $280 BTCUSD,...
On January 6, I noted how the price action technicals were beginning to favor gold (here). Since, gold has begun to rally with force on both a global growth slowdown and increasing market turmoil. Naysayers will continue to hate gold, but both fundamentals and technicals remain supportive. The surprising (maybe not so much) move by the Swiss National Bank to...
What makes anyone think this time is "different." The SPX decoupled from high yield credit (HYG) in 2013 for the first time since 2007. The onslaught of poor US economic data will continue to weigh on equities regardless of the desperation to hold onto the feel good story of growth. I expect a 20 percent pullback to the 200-week EMA at 1,810.
Newmont Mining (NEM) is consolidation within a sideways channel after making a clustered double bottom. Volume has dropped off as the trading session nears its end, but price action remains rather positive. The 4H chart shows that price has been able to breach resistance at $20.28, which is just more supporting evidence that a breakout close is needed to confirm...
WTI has played out fundamentally, and the fundamentals (along with sentiment) still remain to the downside. Traders love to pick out bottoms by catching falling knifes, and they're usually cut up in the process. On a risk:reward basis, sure WTI may seem like it's at a nice area to buy. Yet, I think it is still to early. Crude will likely find support at the...
The EURUSD is currently trading in a multi-year demand zone on the weekly chart. Since 2004, the pair has reached this area four times, each resulting in a nice upward trend. On the other hand, if this zone is broken, the pair could freefall. If the euro can muster enough support within this zone (which extends to 1.1685) the pair could see a rather nice pullback...
Gold climbs higher on traders looking for safety, albeit crude, equities, the ECB or Greece. As what was considered a year for the “secular” bull market to continue higher, 2015 is looking to start the year rather tumultuous. In “Gold $1,200 – A Line in the Sand,” gold began to form a descending channel after breaking through the previous ascending channel. I...
The 10-YR is seeing demand as every data point in 2015 has come under expectations, while the slump in US economic data began months ago. Key bond gurus, such as Gundlach and Gross, look at the US 10-Y to reach a 1-handle. Safe-haven demand will be a major trend in 2015 as volatility increases, which will drive more traders into treasuries. Initially, look for...
Lets try to rationalize that the Dow Jones Industrial Average (DJIA) made over 50 new “all-time” highs in 2014 and nearly as many in 2013. As I have said, while learning from my near decade in financial markets, trading (and sometimes investing) defies logic. Gold still has been trading rather technically, opposed to what many may say is fundamentally driven....
In my previous analysis "Que 2008," I likened this drop in oil similar to the one we've seen in 2008. This was based on both over leverage in the oil and equity markets, diverging fundamentals and a strengthening dollar throughout 2009 - which brought on deflation. Prices did collapse through $60 as expected, and nobody is willing to cut production to reserve...
Looking for a rebound, likely see an end of day risk sell-off. SL kept tight. Entry: 1206.97 SL: 1203.50 TP: 1216
The US dollar weakens almost one percent on growing uncertainty following worldwide equity sell-offs. The weaker dollar is allowing crude to rebound from below $63 per barrel, but spreads on energy debt have ballooned to 880 bps, an all-time new high as traders deem the high-yielding debt extremely risky. The VIX spikes over 16, creating the worst two-day span in...
Traders were quite surprised to see gold rebound to $1,219 per toz. on Monday, after the precious metal was pushed to $1,140 on headlines that 77 percent of the Swiss voters voted against the SNB to purchase nearly 1,500 tons over the course of five years. Analysts can continue to be overly bearish on gold, but the fact that gold is now positive on the year is an...