What's really scary (or thrilling if you're a punter) is that on a more strategic basis the set-up is eye-wateringly good for gains of another 15-20%. The monthly chart of the DXY (i.e., the euro with a prom dress on) has shown a classic period of consolidation after the rapid advance of 2014-15. You don't have to squint too hard to see three waves there. The dollar is now at the very top of the range; probably not the greatest place to establish a long, but man, if we get a monthly close above 100.50 or so there is almost nothing but fresh air until 120.As for the Chinese yuan, despite it knocking on the door of USDCNY 6.9, it has been appreciating against foreign currencies. It is riding U.S. dollar higher right now, something it hadn't done for most of this year. A change in policy? Political concern with Trump presidency? Or temporary blip that will be "corrected" in the weeks/months ahead?
Iron ore rally overshot
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The iron ore bear market rally needs a new spur as steel and margins stall:
Dalian futures likewise look toppy: And coking coal: Steel output is still
ri...
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