Thursday, August 21, 2008

08.21.08 - Commodities Comeback

Oil (USO) is +3.85% and Gold (GLD) is +2.64% as the US Dollar has weakened (UUP) -1.13%. Equities are hanging in there at a loss, but be careful, Adjusted Tick is trending down, as is the AD line.

Have you voted in the reader poll to the right? It's just for fun to stimulate some interaction here, but do weigh in! I'll be keeping that open until at least thirty responses are logged. And please leave your comments on this post.

10:40AM PST UPDATE: AD line started sloping up about 40-minutes ago. Adjusted Tick is still negative, but swinging up. Impact on price is obvious. We have certainly been very oversold, but a bit bizarre to see the move on a huge commodities day. Is it a bounce in all quarters, GSE speculation, or a vote of economic confidence? That's Mr. Market for you. I'd still trail stops on longs.

o Blog to Read: Bill Luby presents a technical scenario involving a commodities rebound here.

CLOSING UPDATE: R1 on the SPY proved strong resistance. Fascinating day -- thoughts?

No comments: