The Fed hasn’t spoken about pause or pivot in any kind, yet the market rallied last Friday with heavy volume to put in a text book follow thru day that confirmed the October 13 low could be the seasonal low. As long as the October 13 low is held, the weekly cycle will proceed accordingly. […]
Ever since the Fed realized the mistake of calling 2021 inflation as transitory, they turned the Fed into a weapon of mass destruction in the worldwide financial systems by shocking the markets with the fastest rising interest rates in history in 2022. They are using lagging data such as the CPI report as a guild […]
In our last private email, based on the consecutive two trading days’ broad breadth after the September 30 low, we stated that there were a 70% chance for the market to rally 5 days and a 50% chance to rally 8 days after the September 30 low. Instead of meeting the expectations of past performance, […]
As the Federal Reserve ramping up efforts to tame inflation, rising treasury yields sent the Dollar surging. The Dollar index DXY is currently at a 20-year high. The rate of change in the rising Dollar and the US treasury yields are a lethal combo for the rest of the world. On September 28, we found […]
Since the extreme hawkish September Fed meeting on last Wednesday, the markets have been in shock. The 2-year and 10-year treasury yields have gone parabolic while the equities in every sector sold off hard. The DOW took out its June low while the S&P 500 and NASDAQ held their respective June low. The 10-year treasury […]
The higher than expected CPI headline data released on last Tuesday September 13, 2022 squashed all hopes and dreams for the bulls. Now the persistent high inflation headline data will support the Fed to hike rates aggressively in the near term. The 10-year treasury yield is approaching a very important level at 3.50%. If the […]
