HEDLines – Archive

We have been following the course of compressions that we saw in each of these 4 main asset classes. They have correlated, separated and now are each going their own way. Stocks are seemingly steepening their uptrend, especially in the…

In the last edition we pointed out that these 4 important assets were all making compressions at a daily scale. Now that a little time has passed, here is an update on the ‘outrun’ period from those compressions, which are…

In the last 24 hours, compression signals have arisen at a daily scale in US Stocks and Ten-year note and also in Gold and the $ index. Prices for all of these have been snaking sideways, which is the most…

It has mystified some people why the Chinese stock market has been stuck in a trading range for the last five years despite China’s well-publicised heroic economic growth rates. Setting aside any questions about the accuracy of those numbers, this probably…

Last week’s astonishing events in which nearby WTI crude futures traded deep into negative price territory two days before expiry had all the hallmarks of a ‘selling climax’. We have waited until the end of the week to write about…

US equities have mostly pushed higher from the compressions we reported in the last edition – see first chart below. The S&P, Dow and Nasdaq have all made new rally highs since the trough of March and this has been a…

The violent movements in stock markets have resulted in a series of compressions in US indices: and one in Japan: This may surprise some readers, as the usual conditions for compression signals are quiet sideways trading in ranges. Such conditions…

Apologies for radio silence last week – the extra internet demand in our area of rural England broke our connection for a few days. Fortunately there has been no change in view – if there had been we would have…

There have been a number of signals in markets in the last few days that indicate a turning point is imminent. First, the dollar index where we are seeing an intra-day extension (meaning the day isn’t over yet). Sell longs…

The drop in stocks since the brief rally high on Tuesday the 3rd has taken many indices to new lows for the move. The weekly-scale top extensions that occurred in late January will remain the dominant feature of our analysis…