“Buy the Rumour Sell the News”

We have had rumour on top of rumour. Central banks took action to liquify the system through their collateralized swap loans, equity markets were over sold and we recorded one of the best weeks for asset prices in years. Markets have risen nicely to resistances and tomorrow the euro meetings start. The good news is …

Weekly Technical Update.. (Inc Janjuah Interview)

Short term at over bought levels (and price resistances). UBS expects another few percentage points on the basis of the xmas rally before the cyclical bear resumes. In spite of the mildly bullish call UBS declares selling into strength the better move at this point – which, in my opinion, is the correct move due …

“Buy The Rumour Sell the News”

Following the central bank’s actions last Tuesday its been right to wait and see how prices of the different asset classes have reacted to the intervensions before commenting and taking too many actions. On the news last week, it was correct to add risk via reducing the hedging shorts and adding a few euros. The …

Central Banks Swaps Lines Attempt to Re-set Pro Risk Rally

I dont have time now to comment fully now but the latest central bank action represents massive intervension in the fx markets. http://www.bloomberg.com/news/2011-11-29/stock-futures-in-u-s-decline-after-bank-ratings-cut-by-standard-poor-s.html In summary its clear signal to market participants that no cash is safe. That central banks will be willing to accept overseas soverign debt junk (ie euro debt) as acceptable collateral for …

Weekly Technical Comments – Xmas Rally in Place (Subject to 1158 sp500 holding)..

Here attached the UBS pair’s weekly technical comments.. They are maintaining their bullish stance re equities and pro risk assets generally. They don’t mention the eurusd specifically but state they are bearish on the dx and so we have to assume they are bullish on the euro as the dx is mainly the eurusd pair. …

Summary Its a Bacon Slicer – ‘We Are All Doomed But Some Less Than Others’

Where to start.. Firstly, apologies for not posting sooner. I will post some technical charts up after this brief comment. France, Germany and Italy made a joint statement out of Frankfurt today that the ECB will remain independent and that there would be no undue pressure from sovereign states to enforce the ECB to monetize …

Weekly Technical View..

The UBS team continue to expect a late Nov high beta rally. They site the 1.348 eurusd level as important too hold to sustain the risk on rally and sp500 1226. Lets see.. Weekly15-11 For my mind market watch here providing a rare ‘perfect’ summary of where we are.. http://www.marketwatch.com/story/the-bulls-need-to-punch-through-resistance-2011-11-14?link=mw_home_kiosk Rich p.s. With the pre …

Weekly Technical View.. Equities Vunerable

The UBS boys maintaining a generally bullish stance towards equities up to end q1 2012. Near term, equities over bought and due a pull back which could last to end of Nov. SP500 above 1883 is a buy.. Below this would set off some alarm bells. They are also bearish oil from 100 usds. They …

Markets..

Everything running surprisingly smoothly at present.. long may it last. We know the consensus was very negative on the recent lows. We also know fund redemptions have been severe and that companies are sitting on cash heavy balance sheets. These positive factors seem to be holding up and the market and the momentum is to …