Mon Jan 9

Readers have asked why the markets have been chopping sideways for so long and
what this implies. It’s due to long term cycles consolidating at their peak before
they eventually head downwards. During this long term consolidation smaller time
frames such as daily trends can fluctuate in direction resulting in volatile chop.
When the long term cycles head south and we get clearer market consensus,
smaller time frames like daily and weekly charts will trend better.

SP500 daily chart is very overextended again resulting in another Wile E. Coyote
scenario.

Substantial SP500 selling now overriding USD sellers.
USD sellers are winning which supports stocks.
CAC / DAX selling increases too.
USD selling increases.
As mentioned previously this market dislocation is a warning.
But CAC / DAX bears dominate so more conflicting signals.
More USD weakness expected today.

NZDUSD short 0.7848
GBPUSD long 1.5451 [c 1.5439]
USDPLN short 3.5193 [c 3.5164]
AUDUSD short 1.0229 [c 1.0226]

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I read comments but they're not published. Troll IPs are automatically trashed. [crinia AT gmail DOT com]

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