Stocks...
Nasd 100…the levels have not changed. 4430 is support. Closing below 4420 will lead to a much deeper correction.
Bonds …
30 Yr. Bonds…do not fade the up.
TLT…126.70 is Fib resistance.
Bunds…155.74 is the reversal qtrly low which precipitated last qtr’s big sell off.
Just be aware of the level. This is where many investors sold the Bunds not buying the negative yield proposition in Europe.
FX…
AUD/USD…73.02 is unchanged on the month.
EURO…is being bought on the crosses against the Yen and the Commodity currencies.
Expect this to continue with a risk off board.
Commodities…
OIL…Sept Futures expire today. Oil can continue to crater given it’s doubtful anyone wants to take delivery.
OIL…Sept Futures expire today. Oil can continue to crater given it’s doubtful anyone wants to take delivery.
Gold…1138 is first mvg avg resistance @ the 50 DMA. Not a level to over trade.
General Comments or Valuable Insight
SHCOMP is trading below it’s 200 DMA joining the DAX, FTSE & now Spu’s
As witnessed by yesterday’s price action, the Bears are in control.(The big rip your face off rallies all failed) Expect volatility.
The board is Long GOOGL /Short pretty much everything else with the exception of Bonds.
Expect another day of low volume two way trade. Chasing direction in any market will prove unrewarding.
When the Spu’s rally the Gold & Bonds get soft and the dollar catches a small bid.
When the Spu’s break you get the polar opposite.
Spu’s are setting up for a move below 2000. I’d rather sell the hard rallies than buy the hard breaks until late September.