The Last two equity bubbles burst when the spread between the 2 Yr US Treasury Yield and the 30 Yr US Treasury Yield inverted. While this spread has not inverted, it is testing key trend line support associated with the bursting of the Tech Bubble and the bursting of the Credit/Housing Bubble. Suspect this spread (more…)
As of 02:00 PM EDT, September 7, six refineries in the Gulf Coast region were shut down, according to public reports. One refinery that previously began restarting has shut down due to electrical issues since the last report. These refineries have a combined refining capacity of 1,395,000 b/d, equal to 14.4% of total Gulf Coast (more…)
As the late Prince so famously said, life is like a party and parties weren’t meant to last. Make no mistake, this party will come to an end. The only question is when? During the Tech Bubble it took more than two years for the Nasdaq to carve out a technical top. In 2007 the (more…)
While all eyes have been focused on OPEC, the US Dollar Index has made a stealthy turn lower with very little fanfare. Should the decline in the US Dollar Index start to gain traction, oil prices (and commodities in general) could be the big beneficiaries. Such an event would be quite fortuitous for both OPEC (more…)
For those that may have forgotten, here is what the US Dollar Index has done since the Reagan Administration. If history is to be our guide we know what happens next…
Needed the S&P to hold 2226.50 to keep the up trend alive. The election night low, 228.50. For the moment the trend is still up. But we will be watching intently to see what happens when the S&P reaches the upper limits of the broadening top pattern.
Is a major bear trap brewing in Copper? Have a text book zig-zag pattern off the 2.3235 high. If this count is correct Copper has the potential to better the 2.3235 high in the coming days. To set the stage for such a rally bulls will need to carve out a bottom in front (more…)
Have a text book ABC pattern down from the 2134.00 high along with a text book five wave decline off the 2110.25 high. The perfect set up for a bear trap. All that is needed to complete this pattern is a marginally lower low. Bears are on notice.