A sharp US Dollar rally weighed on crude oil and gold prices alike. Swelling Fed rate hike bets drove the currency higher alongside front-end bond yields. The spread between rates on two- and ten-year Treasury bond rates tellingly steepened and the 2019 policy path implied in Fed Funds futures reflected a hawkish shift in the markets’ expectations. The WTI benchmark succumbed to de-facto selling pressure since prices are…
The sweeping tide of populist election victories has not been limited to just the US and Europe. There have been torrents in Asia, too. Though there is some disagreement whether he counts among them or not, India’s Narendra Modi swept to a historic electoral triumph in May 2014 sure sounding a lot like one, maybe…
Share markets in India are presently trading marginally lower. Sectoral indices are trading on a mixed note with stocks in the energy sector and banking sector witnessing maximum selling pressure. The BSE Sensex is trading down by 135 points (down 0.4%), while the NSE Nifty is trading down by 55 points (down 0.5%). The BSE Mid Cap index is trading down by 0.2%, while the BSE Small…
The EUR/USD created a double bottom from where it bounced in a “dead cat” style. Can it recover? Not so fast. The Technical Confluences Indicator shows that the pair faces resistance around $1.1834 with the convergence of the Pivot Point one-month Support 2, the Bolinger Band one-hour Lower, and the BB 15-Lower. The next significant congestion of potent…
There are some interesting dynamics in play in the small-cap sector – encompassing both fundamentals and technicals. Post-tax cuts of last December, earnings estimates were sharply revised higher. The Tax Cuts and Jobs Act of 2017 was signed into law on December 22. On December 21, operating earnings estimates for 2018 were $145.31 for S&P…
We still believe that Silver Investing In 2018 May Become Very Profitable. That is primarily because of the indicators that look super bullish in the Silver Market In 2018. Is now the time to enter? Well, the silver mining chart says to hold on a bit, and that is not necessarily a bad thing, on the contrary…
WTI Crude Oil The WTI Crude Oil market had a volatile session during trading on Tuesday, initially trying to go higher but finding enough resistance at the $72 level to turn things around. Beyond that, we also saw a lot of selling due to a massive move for a stronger US dollar. The $70 level…
US Treasury note yielded 3.09% which open doors for more aggressive Fed tightening, Long USD/JPY? After months of dollar sell-off since the start of 2018, the dollar has reach its strongest point since December. Chart below shows the 10-year yield breaking back to 2011 levels. The implication of 10-year yield breaking 3% is that inflation…
EUR/USD 4 hour The EUR/USD reversed at Fibonacci resistance levels of wave 4 (green) and is now challenging the previous bottom (blue line) after a strong bearish break below the support trend lines (dotted green). A bearish breakout could indicate a continuation of the 5th wave (blue) and aim for the 1.1750 round level. This…
Over the last 15 years that I have been trading, I have made efforts to fully understand multiple asset classes as I believe this is the best way for anyone to ensure maximum diversity, minimum risk and, of course, better profits across their investment portfolio. While I have always been very active in FX trading,…
