Friday, April 9, 2010

Market Thread 4/9

Good Morning,

Equity futures are higher again this morning, dollar down, Euro up. Gold is higher and running after the breakout I showed was occurring last week and is now straight up for more than a week. Bonds have been backfilling the past few days.

No economic reports today.

There was another small movement in the McClelland oscillator yesterday so look for a large movement today or Monday – gee, no surprise there.

The Transports closed at a new high yesterday with the other indices not, this produces yet another divergence. Keep an eye on the VIX, it is very near the bottom Bollinger, showing complacency and potentially setting up a market sell signal if it were to close below that band and then rise back above.

As I watch the events of the world, I can’t help but think that there are meaningful events that are very close to rising to the forefront – far too much occurring, you can see the underlying tension in those events, they are happening all over the world. That tension is produced by the inequity of debt backed money that works to richen a few while enslaving the majority.

A common theme among current events is the reduction of American dominance. The overthrow in Kyrgyzstan, for example, has driven out a government friendly to the U.S. and placed in power one backed by Russia. The U.S. is being forced to withdraw from a base there from which we were conducting Afghani operations. Meanwhile Obama is taking pictures with the Russian President, wearing a huge grin over the nuclear reduction treaty, while being chased out of territory surrounding Russia.

Thanks again to those who have been donating to the PAC via the Fire the Fed campaign!