HEDLines – Archive

US and European equity markets are trading in tight ranges near the highs of broader ranges. We have recently advised short-selling some US equity sectors and the Southern European indices (Spain, Italy and France, which are our usual short choices)…

We pointed out a compression in €uro futures that broke in the 12th October edition and we advised buying the €uro immediately. Compressions that break signal the start of new moves but the break is sometimes a bit too quick…

There has been some internet chatter lately about the effect of the monthly option expiry in US equity futures markets on price peaks in stocks. This monthly event is one of the inputs into our own cycle analysis so I…

The advice ‘sell stocks short’ given in yesterdays edition at 8.25 pm included a list of markets that we considered suitable candidates to sell, including two European indices that were closed for trading at that moment. These current ranging market…

We have been favourably inclined toward commodity prices as most recently written in the October 7th edition. Since then, long positions in corn and cotton have ‘timed out’ at the fifteen-day mark, leaving only a single long position in soybeans.…

Equity markets have continued to rally with no significant pullback. Our advice in Monday 5th October’s edition, repeated on Wednesday the 7th was to buy any small dip of 1-2%, in a selection of equity index futures, even if the…

This week the US Treasury sold 13 week T-bills at a yield of zero for the first time ever (yes, we know it’s a discount instrument so at a discount of zero if you must). T-bills are bought for a…

There is a similar situation developing in both stock and (some) commodity markets. As reported on Monday 5th October we think the line of least resistance in stocks is now upward, for reasons given in that edition. We also have…

We issued ‘cover all shorts’ advice in equity markets late on Friday, as prices rallied. This recommendation came because of some signal combinations, not merely because prices moved up – we often ‘lean against’ the current price trend, but this…

Comex copper futures made a daily-scale compression ten days ago and rapidly broke downward, signalling the beginning of a new downtrend. The break was quick and gave little chance to ‘get on board’ by selling short. Now there has been…