The collision of global markets and social mood

Friday, December 23, 2016

Friday -- Mood In Brazil, Uranium, Fib Targets

S&P E-mini Futures:
Off best overnight continuation levels of yesterday's rally.

News:
Please note: no posts next week due to travel and holidays. Heading back to PR.

Bloomberg: "2016 Was Awful for Brazilians and 2017 Doesn’t Look Much Better."

Exactly the type of journalistic mood I like to see  . . .when I'm bullish.

'16 wasn't awful for Bovespa

Started buying PBR, ITUB, VALE well over a year ago. Added into the hole. Turned into a nice trade. Have scaled out 80% and will re-add as long as 2016's lows hold.

Have been doing the same with uranium stocks, CCJ and DNN. Possible others are UEC and URRE (popped 35% yesterday).

Beaten down, underowned, out of favor, cheap & forgotten. Energy proxies for a world flush with oil while moving toward a world beyond oil. Only natural gas and uranium can bridge that gap for the next 25-30 years.

FX:
AUD threatening .71446 swing point. If broken could open door to new lows below .68260.

Some strength in JPY yet again.

Still looking like EUR could hit new multi-decade lows in a month or so.

Treasuries:
Another day of attempted liftoff. Volume not helping.

Energy:
WTI crude down yet choppy. NG up over 2%.

Metals:
Gold the lone standout thus far amid red peers.

S&P Outlook:
Looks like a triangle in play as long as 2248.44 holds. Measured move targets 2306.62, in the 2303-2373 Fib zone.

If 2248.44 fails, there is a 1:1 Fib extension target at 2243.47. Below 2240 could get dicey.

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