Oil has had a very good run into the $44 range and will now retrace. There aren't any catalysts to push the commodity higher in the next few weeks now that DOHA and Kuwait risks have passed. Expect 1.28 in the short run and 1.30 in the next week or two.
The euro has been beaten up during the past 12 months but it has managed to find a bottom near the 1.05 mark. It's last rebound went has high as 1.17 in the fall of 2015. Since testing the 1.05 level a few months ago, we began to see a bounce back into the 1.10 level. This followed a retracement and range bound trading before another breakout above 1.10 has...
Another leg up is expected, targeting $42/barrel. I suspect that China news will be positive over the weekend and that CBs, European and US, will continue to support a recovery in both equities/oil and their correlation to each other.
Long oil has been an interesting candidate, a contrarian one, and definitely risky with the heavy momentum the downside has seen. Perhaps there is still much more to go, but I do like the idea of a long at current levels, adding to the position between $32 and $30 levels with a stop below $27.50 lows set this year.
While the current bounce is more profit taking...
(The Australian Dollar will outperform the kiwi (NZD) for many reasons, the main one being that Central Banks will most likely continue with monetary easing during the next 12-24 months. Both economies will most likely continue to falter as global economic conditions stay stagnant or worsen. The AUD has been undervalued against the kiwi for more than one year and...
Long SP500 and other instruments to see a bounce from current levels after today's price action. Longer term, there could be problems and we could see further moves below 1800.
Following today's Royal Bank of Canada meeting and non action on the monetary policy front, there should be room for a CAD bounce. Given that rates were not reduced in the face of weaker economic data and capitulating oil prices (which may fall even further in the mid term), the market will most likely lock in profits and prepare to enter at better levels. Expect...
