With poor economic data out of Germany and a much weaker U.S. consumer confidence number commodities and equities have come under fire today, violating uptrends across the board. Copper, Silver, and Nasdaq have suffered the most today and I expect further losses in these markets in the coming days. The fixed income sector has rallied above the head and shoulders neckline in the individual markets, pointing towards a run to safety out of riskier assets. Furthermore, the Euro/Yen Cross also has violated it's bottom consolidation trend signaling further weakness in the market. I expect the Euro/Yen to continue to around 118.50 on the YR symbol CQG chart on this recent down move.
I recommend looking to sell rallies for short position entry and not holding long positions in commodities or equities for the time being. Silver looks to have a projection on the short-term down move of $14.15, Copper to $2.70, and the Nasdaq to 1670. I believe that these are the best markets right now to sell rallies in as they have the most potential for downside volatility if their trend violations hold today.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment