GOLD'S NEXT MOVE?Little educational post for you guys! If my analysis is correct & the current uptrend is Wave 5, an effective way to estimate how far this last bullish cycle will go is to go back & look at Wave 1, when Gold first started its uptrend in 2006. Wave 1 & Wave 5 tend to be very similar in how many PIPS they move, with a few hundreds PIPS difference which is very accurate for higher TF analysis.
I have done this on my chart & it shows me where Wave 5 will possibly end before correcting itself over the next few years! Do this for yourself & you'll find the results you're looking for. I have covered out the price it could go to as it'll only be exclusive on the Market Breakdown Report for Investors. Markets are looking juicy for the foreseeable future🦾
US10Y
Contrarian Bond Trade US10Y - bonds have been in a 40 year bull market. i.e. bond yields have been coming down STRUCTUALLY for 40 years.
Next time you meet a rich bond trader, tell them to stop bragging because you just needed to go long in 1980 and you were good.
What this chart shows pretty clearly is a reverse H/S one of the best indicators to show a change in trend -
The contrarian trade would be if yields go higher - that would be a portfolio wrecker...
The Problem With JapanIn this video we discuss the current macro economic problems facing the Bond market and anticipate that regardless of what happens we will see dislocations (volatility) in a number of different markets.
The problems with Japan stems from their monetary policy to implement Yield Curve Control (YCC) where they are committed to keeping their interest rates between +0.25% & -0.25% with the targeted rate as 0%.
As global inflation is hitting consumers hard and all over the world central banks move to increase interest rates & lower economic stimulus introduced during COVID-19, Japan's 10Yr Government Bond (JGB) Yield is at the upper limit of their band (currently trading at 0.22%). As the Bank of Japan (BoJ) now steps into the market and buy as many bonds as required for the market to maintain the desired interest rate it could very easily start to drag other global bond yields such as the US 10Yr Bond lower with it... the exact opposite of what central bankers want right now in order to battle inflation.
Its situations such as this that historically have meant inflation runs out of control and causes catastrophic impacts on the economies of the world, or the flip side to this situation is that Japan is forced to abandon the current band of YCC and accept the inevitable negative effect this would have on both domestic and global Stock markets.
My prediction for how this plays out is that at least for the meantime the global market follows the JGB Yield and starts a correction until this starts to cause real issues for inflation to the extent that central bankers start introducing things such as emergency rate hikes... essentially central bankers may hope they can get away with no increasing rates because they analyse inflation to be "transitory".
In this situation I will be looking at the following trades:
USDJPY Short
Gold Long
Nasdaq Long
Let me know your own thoughts in the comments below & feel free to share this with any friends.
US10Y in-depth analysis - Why I think we will see Gold above 2k In this video I am going to show you why I think that we will have a major decreas e in bonds price this year. This is due to the fact that we are currently trading in a wedge shape , or a so-called Elliot Wave Diagonal which is characterized by a 5-Waves-Pattern , of which every inner wave is shorter than the first impulsive wave.
Fundamentally spoken, I do assume that rate hiking might already priced in the current Dollar and Bond prices. Therefore FED rate hike announcement might be the catalyst for several sell-off waves.
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Thanks.
RT
Welcome to 2018 but way worseIt took less than a year for relative yields to do what took 5 years in the previous cycle. Last time it was gentle and made us fall asleep at the wheel. This time, it's forcefed down our throat and the economy will be dragged down by these companies who have made harmful malinvestiments for years with no recourse. Look at half the companies on the Russell with no profits, for example, and how "well" the index has done while they roll around in fresh fake money.
5’s & 30’sKeeping the ZIRP thesis alive for now, 30s & 20s remain inverted now 5s could overtake 10s then 30s. Bonds are screaming for sure with inflation still growing m/m, more printing is inevitable to keep the economy going, and printing is how we got here. The next announcement for fed QE expansion, I believe will be the catalyst for golds big move out of the major coil. When there’s nothing left to eat the snake eats it’s own tail.
Predictor on Federal Interest PaymentsThis chart provides a clear "prediction" on tomorrow's Federal Interest payments (on the debt) which sits at a bit more than 20% of tax revenue. This chart uses the debt and the US10Y to show where payments are going. It's obviously very accurate but the problem is, the next move up is going to detrimental to US government solvency. Higher payments come with higher interest rates!
Good luck.
MASSIVE gains to be had in resource producers next 10+ years!!!Here you can see the ratio of XAU (an index of 30 precious metal mining companies) to the S&P 500 compared to the yield on the US 10 year treasury (orange line). As you can see, we have been in a falling rate environment ever since Volcker jacked up rates in the early 80s and put a floor under the value of the Dollar. XAU/SPX has followed the treasury yields down with strong correlation.
Currently, treasury yields have no where to go but up, and the reversal has already started as you can see by the latest action. XAU/SPX has been consolidating since it bottomed in 2015, building energy for a massive breakout that will dwarf the last precious metals bull market (2000-2011). With rate hikes around the corner, weakening economic data, and suffocating levels of global debt, I know which bucket I would rather put my money and patience in.
SPX next 5 years. archive GRAPH big target +8989 Hi friends...before wait first i am waiting for the bear season in the stock markets.
.target 4200
Full buying zone in index under 4200 _3800...and wait strong candle
then strong candles wait time. first atack 5248.. second 5606 ....
if 5606 breaks strong bull season awaits us
thnks and goodluck
us10y goes up btc goes down ? this is garbage lookhi all bro..
If us10y and btc are rising on the same monthly candles. The thesis that us10y goes up, btc goes down, it's garbage for me..
%100 no reverse correlation
see marked candles . sometimes together
btc 4 hours ..
never forget my indicator auto fibonacci draws
Selling in the fall below the thin line.
Buying in the rises above the thin line
first atack +46666 second atack 510000
stop line 41450
good luck..
fallow ,comments. like and share pls ..
dxy goes up btc goes down ? this is garbage lookhi all bro..
If dxy and btc are rising on the same monthly candles. The thesis that dxy goes up, btc goes down, it's garbage for me..
%100 no reverse correlation
see marked candles . sometimes together
btc 4 hours ..
never forget my indicator auto fibonacci draws
Selling in the fall below the thin line.
Buying in the rises above the thin line
first atack +46666 second atack 510000
stop line 41450
good luck..
fallow ,comments. like and share pls ..
Fed Fund Rate Vs US 10Y Vs GoldHere is an interesting comparison of the 3 charts. If the history of these charts has taught us anything, there is going to be a rise in rates on a real rate basis more so than actual rates. What is more interesting is how this real rate rise will influence gold prices. Now gold isn't bitcoin, they are the exact opposite things. One is front-loaded with energy and the other requires perpetual energy in addition to one having mass vs one having no mass. The risk-off appetite will be a big player here. I can see rebalancing to add gold to your account of 5-10% and reducing bonds to offset this is smarter now. Adding the 1-2% bitcoin position will make sense as the risk-off bottoming occurs.
Gold miners will be smart soon, but not yet. Pick your miners now, Barrick, Newmont, Agnico Eagle, Wheaton Precious, FrancoNevada, Sandstorm, etc, and hit the bid when they tank along with equities. (This is a time to add additional bitcoin as well)