Battle of the Charts
A quick update on market charts… given the recent correlation it is not surprising to notice that major markets are either at key support or resistance levels… here is a summary of the major markets
(Note: Red arrow indicates resistance & Green support)
S&P 500 – can it hold the 200 day moving average?
CRB – Commodites Index – 6 month high… Nearing Golden Cross (50 day moving average crossing the 200 day moving average from below)?
USD Dollar – will it hold the 200 day support? It did in early August but it is also closer to the Death Cross (converse of Golden cross)
TSX – 125 points shy of the 52-week high, RSI approaching 70 and imminent golden cross signal
Fear – doesn’t matter how hard the double-dip camp tries, VIX hasn’t broken the downtrend line from mid-May but it is also resting at key support level of 20
I’m curious to see which side wins…I’m still biased to the downside given the fundamental picture.