This time is different… Is it really different? The price action on USD/JPY will help us answer this question. A lot has been said and done for Japan, for its economy and for its currency over the past decade. 5 years trend has been downwards on USD/JPY declining from 125 levels to 75 levels. Deflation, earthquake, tsunami, quantitative easing and government intervention… […]
Readers of Tech Charts blog will remember my earlier analysis on Copper.(http://techcharts.wordpress.com/2012/01/05/copper/) On the 5th of January Dr. Copper was the first commodity that signaled RISK ON environment for the first part of 2012. Copper was the first commodity that broke out of its consolidation range (symmetrical triangle) at 355 levels. It was after this breakout […]
This week we have seen some major breakouts. I have analyzed most of them in my previous updates. Commodities index had a strong run and broke out of its 6 month-long consolidation range. I have mentioned that this could be an inverted Head & Shoulder continuation pattern. It looks like this pattern is now confirmed after the strong […]
This week we have seen strength in the energy sector with Brent Crude continuing higher after the breakout from its consolidation range, Light Crude Oil testing the horizontal resistance at $103.75 and Natural Gas trying to rebound from a major support at 2.45 levels. Strength in energy sector helped the Goldman Sachs Commodity Index breakout from […]
Though one share of Apple still not as valuable as one ounce of Gold, Apple with its products and its value in terms of market cap has been widely followed and discussed over the past five years. Every day I go through hundreds of charts and analyze different asset classes and I come across great opportunities that I share with you […]
If a market is below its 200 day moving average, it is likely to experience downward pressure on each high volatility period. When analyzing a chart I try to make sure below conditions are satisfied. 1) Direction on the long-term chart should be clear. If a market is above its 200 day moving average I should trade the bullish breakouts […]
Thanks everyone for participating in the poll on what to read at Tech Charts. The feedback has been valuable. As there are plenty of opportunities in the financial markets it is important to filter them and present the widely followed instruments on a daily basis. Though this post is not one of them, many of my […]
Rebound in Euro and weakness in U.S. dollar has now reached to the targets I’ve mentioned in my previous update on the 22nd of January. (http://techcharts.wordpress.com/2012/01/22/u-s-dollar-index-eurusd/) EUR/USD rebounded from 1.26 levels and reached 1.33 levels. U.S. dollar index reversed from 81.60 levels and pulled back towards the support area between 78 and 80 levels. Since […]
Since August 2011 I’m updating U.S. Unemployment Rate with the above template. I looked at the % change on the unemployment rate from a different perspective and applied 1 & 2 year moving averages to see crossover signals and the length of trends after major crossover signals. (http://techcharts.wordpress.com/category/economics-united-states/) In this analysis I concluded that in […]
Breakouts from consolidation ranges have always been powerful. The longer the time spent in the consolidation range the stronger the breakout is. Lumber is a perfect example of a range breakout where price has been consolidating for almost a year. Price could have breached the lower boundary of the year-long consolidation at 213 and also violate the […]
