Almost there.. Market overheated

Just the technical picture of where we are on US equities..

Will build shorts around here. More USD strength,being that DX is at the bottom of the long standing downward channel on the weekly could be the catalyst as commods should get renewed pressure. My guess though is that the doves come out to talk down USD as much as possible as no one wants a replay of the global catastrophe this USD rally has wrought on global econ..

To me though, USD is just in a dead cat bounce as the prior attempt at resistance early this year don’t quite make it and that usually means support will not hold other than the initial technical reaction.

Here’s ES (Emini S&P futures) about to tag the resistance  mentioned 2 weeks ago here.

ES-going-to-heck2

 

 

 

 

 

The best charting teacher I know:
The Morning Analysis Service by Paul Coghlan
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2 comments

  1. snake eater   •  

    PM’s rally is real strong this time. Confirmed by wheat + cocoa + soybean + coffee. Dow needs yellen more than ever.

    • jf991   •     Author

      USD doomed..

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