Stocks...
AMZN...closed below it’s 200 DMA for the first time since Dec 2014.
GOOGL...a good close below 735 is needed for another big sell off
XLI…as long as this sector holds a sell off into the low 49’s and does not close below
it has room on the upside.
Bonds..
30 yr….The low risk daily buy level is 161.11
Bonds weaken with a close below.
FX…
CAD/JPY ...anything into 86.92 (last years close) will be an exit zone the first time up.
Closes over this level are needed to extend.
Canada Futures…
Euro…112.40 ish is where the Oct breakdown came from for a the move to 106.
This is a big closing resistance level.
DXE…the index is coming into Fib support and the closing downside pivot matching the 112.40 resistance level in the Euro.
Commodities…
Gold…1158 is the matching breakdown level with the Euro.
Crude…weakens under 31.53. 33 is today’s resistance and the upside pivot.
General Comments or Valuable Insight.
Last night in Sydney“Ten-year yields are likely to go up,” Jan Hatzius, chief economist for Goldman Sachs, said at a conference in Sydney. The “bond market is underestimating to a significant degree the amount of monetary normalization that we’re likely to see.” The benchmark yield will rise to about 3 percent by year-end, he said, from 1.91 percent Thursday.
Everybody has got an opinion. Trade the levels in front of you.
Equities remain a sector game with Utilities and high dividend paying stocks in clear bull trends against the high flyers of last year which keep getting pounded on rallies.