"Everyone has a plan 'till they get punched in the mouth" - Mike Tyson

March 03, 2014

Charts of the week






All eyes are on Russia this week.  It turns out the Russian ETF is at key support as well.  This is the definition of make or break and you better believe it will affect markets worldwide.

With sentiment trending bullish, it's safe to assume pullbacks will be bought until the trend changes.



The SPY/TLT ratio appears to forming a head and shoulders top.  If completed it'll suggest a move to defensive groups and bonds.










Key resistance is causing rising rates to reverse.  This period of low interest rates isn't ending soon.

Equity bulls want to see XLP relative strength rejected here. 


Real estate is already signalling it's strength, likely due to the prospects of falling interest rates.


At the same time there are hints of healthy rotation in the market.  As we'd expect, housing is starting to re-take leadership






Railroads look coiled for a huge move one way or another.  This group will be huge the next couple of weeks.


The Euro is at a very key level.  The pattern makes us think it'll push higher. If it breaks higher that's market bullish.


Nat gas formed a morning star at support.  It's buy-able versus 4.40


Good Luck this week!  Have a plan and execute.

Reminder:

All ideas shown on this blog represent the authors opinion based on the data available.