The video in this report is only accessible to members
The video in this report is only accessible to members

QQQ, DJIA and SPX are right at October lows, and should attempt to make a stand this week, I believe.  However, this likely does depend on a larger rolling over in both US Dollar and Treasury yields which appears to have begun temporarily in Monday’s trading.  A sharp, high breadth rally is needed nearly right away to prevent selling pressure into late October.  Given the degree of broader market weakness, the burden of proof is certainly on the Bulls.

US Equity indices attempted to “Make a stand” at October lows on Monday as US 10-Year Treasury yields rolled over sharply after briefly eclipsing the psychologically important 5% early in the day. 

TNX fell over 15 bps from high to low on Monday, while DXY fell to multi-day lows.  However, the early bounce attempt in US Equities failed to gain all that much traction and SPX finished the day with a minor loss, while DJIA fell nearly -0.50% on the day.  SPX fell over 30 points over the final three hours of Monday’s (10/23) trading.

As discussed last week, the correlation between Treasuries and Equities has been slowly slipping, and Cryptocurrencies also have been bucking the tide, and have shown impressive relative strength despite the sell...

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