Well lets dive in and look at some charts first with the ES.
The S&P 500 has been pretty choppy lately but still grinding higher after it broke a major fire line at around the 2055 level. The Russel TF has still leading strong with typically more of the breakout either up or down when we some movement but I'm still game to see this market higher and the Bulls running the show.
30 yr Bond ZB Contract
The 30 year bond is still on track to move higher with probably seeing mortgage rates continue peel off lower as typically this inversely related pair with the indexes refuses to cooperate and will go higher. I'm saying much higher. We are coming into a very interesting time in the world and the markets when all time highs will continually be achieved on the bonds and the indexes.
Gold GC
This brings me to Gold, yes we've as of lately seen a bounce and allot of the volatility is highly manipulated to run everyone's stops and flush the market where there is liquidity but I will say it again Gold is going lower much lower! This is only the beginning, I will not even consider being a buyer of Gold till it gets down to around the $800 level. And that my friends is where this commodity is headed.
USD DX
Lastly, before I sign off watch the dollar folks... Us traders are looking for major moves in the dollar to keep going higher. This will have major ramifications globally that I will continue to talk about more in future updates closer to the end of this year, but nonetheless look to buy this next dip back into this trendline around the 86.5 level and hang on to go much higher. We have lots to talk about with this friends, the markets are just heating up with the dollar.
Have a very Happy 2014 Thanksgiving! we have so much everyday to be thankful for...
Please don't let a day go by without thanking God to be alive and all the many blessings we have.
Cheers,
-david
