HEDLines – Archive

There has been much written in the press in then last 2 days about the flight to various ‘safe haven’ assets. These have included gold, government bonds and even the Yen which is by no stretch of the imagination ‘safe’.…

US five and ten-year notes have made extensions in both their futures prices and yields. Futures prices are subject to periodic dislocations as each delivery month matures, being replaced by the next one along. This is not true of the…

Italian and Greek stocks have been badly bruised in the recent weakness and both indices have now made bottom extensions. This fits well with the bottom extensions reported in the US and so we expect a bounce on both sides…

In the recent market weakness, the tech sector has been hit quite hard, especially in the last 48 hours, led by a big fall in Linkedin. Now, an index that captures the internet part of the tech sector has extended:…

This is a day on which we expect a turn in equity markets. This means a high point or a low point should be made on or very near the day in question and the prior trend determines which it…

Gold futures made a top extension at a daily scale on Friday, as shown in the first chart. The second is to point out that there is a longer-term downtrend: Fear about various developments in the world (including  a bear…

The US $ has been highly compressed against the Euro and also in the $ index futures contract, as reported in the 28th January edition. Those compressions are breaking today, in the direction of a weaker $. This confounds the…

German Bund futures made a top extension on Friday, at a daily scale. This comes after a substantial run-up in price /drop in yields that has seen much of the short end of the German yield curve turn negative. Investors…

Grains generally and soya in particular have been trading relatively quietly in recent weeks. There were compressions in corn that broke down in December and to which prices returned in the last few days, and now fresh compressions in soya…

We wrote in the January 13th edition that the market expected a generally stronger $ but that our work showed it to be compressed, waiting for a break in either direction. This first chart shows that it still is. There…