Global Macro Technical Thoughts – December 29, 2019 Sunday

Global Macro Technical Thoughts, we focus on finding the early entry/ exit levels 

Sometimes the signal is given too early – but with keeping a tight stop, the risk/reward ratio is in balance

Note: Levels are triggered when hit either Intraday or end of day, unless differently indicated

 

We would like to use this opportunity to wish our subscribers good health, happiness and success in 2020, both personally and professionally

 

S&P / Nasdaq / Russell 2000 / Dow Jones / TSX / DAX / FTSE 100 / AEX

The indices are still on a buy signal

However, after an extensive day of analysis on all different sectors the conclusion is that a pullback is still imminent

While its inflections points are just a few days away the expectation and forecast is lower indices and equities, higher gold and bonds prices

The following closes below give a sell signal and entry-level to go short:

S&P 3223, Nasdaq 8688, Russell 1663, Dow Jones 28527, TSX 17047, DAX 13229, FTSE 5792 and AEX 608

 

VIX (Cash)

The forecast on the VIX is still higher volatility as long as there is no good close below 11.60

 

Gold (FEB)
Gold continues on a buy signal from around 1468 and is getting closer to its next upside target of 1535

Raise the protective sell stop to 1492

 

Silver (MAR)
Silver continues on a buy signal from around 16.85 and is getting closer to its next upside target of 18.40

Raise the protective sell stop to 17.60

 

Copper (MAR)
Copper can still move lower as long as there is no good close above 2.85

 

Platinum (JAN)
Platinum tested its last high and has room to move above 1000

Raise the protective sell stop to 934

 

Crude (FEB)
Crude came close to 62.40 but as long as is trades below it we can still see another pullback

Traders that are short Crude should use the 62.40 level as its buy stop

 

Nat Gas (FEB)

Nat Gas bounced as expected but couldn’t hold up

However, since the projection is up we stick with its forecast for higher prices and keep its sell stop at 2.17

 

US Bonds (MAR)

No change

The outlook is still for a bounce in US Bonds and TLT

However, in order to get a confirmed buy signal, we need to see the following closes above:

US 30 Year 158.23, US 10 Year 129.13 and TLT 138.65

 

Bunds (MAR)

A close above 172.35 is still needed for a buy signal in the Bunds

 

There is no change in the currencies with the exception of the Dollar Index

That Index gave a false signal and is back on a sell signal with a buy stop at 97.55

 

Soft Commodities – no change

 

 

© Global Macro Technical Thoughts – December 29, 2019 Sunday

 

Risk and Disclosure Statement:

There is a risk of loss in trading stocks, commodity futures, options contracts, and forex.

This risk can be substantial and therefore investors should carefully consider their financial suitability prior to trading.

Investors must fully understand the risks involved and must assume the responsibility for the results.

Past performance is not necessarily indicative of future performance.