One of the less-watched indexes which is a favorite of mine is the Broker/Dealer index ($XBD in ProphetCharts). It can be a powerful harbinger of broad market moves. As you can see by the chart below, it is, as we professional technicians say, pooing all over itself, which probably explains why my portfolio has been doing…
In this past weekend’s newsletter, I laid out a case for being “cautiously optimistic” as technical action had improved and short-term buy signals had been triggered. To wit: “By the time “buy” and “sell” signals are triggered, the initial recovery has already completed most of its initial move. This is completely expected. Importantly, if the markets are indeed reversing course, the entry…
Impressive gains from a medical equipment company following particularly promising clinical trials helped the healthcare sector gain more than 1% on Monday. This was the single bright spot on a day when stocks moved lower. Still in the red year to date, the sector has made an impressive comeback over the last month, gaining nearly…
US trade statistics for February improved in both exports and imports, but there are questions as to the reason for the reverse and whether it is actually meaningful. After abysmal performance in every segment and category in January, there was some give back in February including positive numbers in some places. That suggests that January’s…
US trade statistics for February improved in both exports and imports, but there are questions as to the reason for the reverse and whether it is actually meaningful. After abysmal performance in every segment and category in January, there was some give back in February including positive numbers in some places. That suggests that January’s…
I’ve strongly stated that in the short and intermediate term, the most important price driver of gold is the US dollar’s movement against the yen. The dollar is the world’s largest “risk-on” market, because America is the world’s largest debtor. Japan is the world’s largest creditor. Downside action of the dollar against the yen is a…
In several articles that I have written in the recent past, I have maintained my bullish view on gold for different reasons. Gold price trend as compared to real interest rates is yet another indicator of bullish times for gold in the coming years. The real interest rate here is the 5-Year Treasury Inflation-Indexed Security….
The ho-hum utilities sector is the antithesis of popular stocks like Netflix (NasdaqGS:NFLX) and Tesla (NasdaqGS:TSLA). It’s a hyper un-sexy industry sector that’s been long associated with widows and orphans, rather than hotshot entrepreneurs who like to build rocket ships in the office parking lot. And guess what? The widows and orphans are beating the hotshots! Moreover, the widows…
<<Read Part 1: Understanding The Financial Markets What Happens When Emerging Market Economies Collapse… The production output of emerging market economies feeds the voracious appetites of developed economies. But when things sour in the global market, EM economies become the victims of collateral damage. This was all too evident in the collapse of emerging market…
Gold bugs, conspiracy theorists, and perma bears had some unfamiliar company last year. While traders, individuals, and ETF’s have been unloading gold for the past five years, central banks have been steady buyers. Who had the biggest appetite for the barbarous relic? Russia, which has been accumulating the yellow metal to avoid economic sanctions imposed…
