PrometheusCHT

PrometheusCHT

The normalised chart of Copper (white) vs CAT (orange) would indicate a CAT short is a reasonable equity trade here...

PrometheusCHT

Whilst diagonal trendlines are geometrically certain to break, they are also rather difficult to trade, looking very obvious ex-post, but hard to pull the trigger on ex-ante. In this case, I am inclined to take the signal given I have traded the vicissitudes of Copper quite well, particularly in the past 6 months.

PrometheusCHT

British American Tobacco looks set to break-out. This is one of my favourite stocks to own because I doubt humans will stop partaking in such guilty pleasures!

PrometheusCHT

... Breaking-down through resistance.

PrometheusCHT

Worth keeping an eye on here to see whether the divergence yields some timing insight here into gold.

PrometheusCHT

A small-long here looks like a reasonable technically speaking... Breakouts in JPY often have one big counter-thrust before they advance so a wide stop might be necessary.

PrometheusCHT

EEM looks to be breaking-out beyond technical resistance and through the top of the value area as indicated by the distribution on the left axis.

PrometheusCHT

BHP, FMG & RIO

PrometheusCHT

Similar to gold, silver is a great market to be long vol, as evidenced by the signals here.

PrometheusCHT

... Probably my favourite market to be long vol. Historically the model tends to signal preceding large price movements.

PrometheusCHT

... The same model on crude.

PrometheusCHT

This model looks for statistically low historical vols and has worked well for me in the past.

PrometheusCHT

Another interesting trend-line presents as the reality dawns upon markets that the dollar may be rolling over.

PrometheusCHT

I would expect a false break here, perhaps I'm biased. But given the slope of the trendline it's geometrically fairly likely to break, whilst the overhead supply < 80 handle seems less likely to clear.

PrometheusCHT

What is a meaningful relationship between the currencies of two very interlinked and substitute export-led economies appears to have broken down - at least directionally in this case. I think they reconverge, so my bias here is long USDTWD... So now I shall look for an entry.

PrometheusCHT

Increasingly the Pound is looking bullish and may break out of its double-bottom type pattern here... Adding to my position.

PrometheusCHT

The Euro looks to be trading back towards the midpoint of its distribution... I'm not bullish as a result of the risks posed by European elections this year, however, I am of the opinion it trades higher over the next month where I will likely look to short it higher. Given it is in said distribution I will be monitoring it closely with my mean-reversion model,...

PrometheusCHT

... The DXY which is ~60% composed by the EUR is looking fairly precarious, a failure to hold support will be bearish and add credence to my suspicion there might be a January top in the Dollar, or conversely, a January bottom in the Euro.