David Fuller's view

India's Sensex Index (weekly & daily) falls back as the rupee (weekly & daily) weakens again, risking higher inflation and interest rates. Historic resistance above 21000 has turned back the stock market rally and underlying trading will be tested unless the Reserve Bank of India Governor Raghuram Rajan can once again turn back the rupee's slide, shown inversely above against the US dollar.

Japan's Topix Index (weekly & daily) appears to be completing its first medium-term reaction and consolidation phase above the base formation and a move back below 1200 would be required to question this hypothesis. Meanwhile, in the opposite situation of India above, further weakness by Japan's overvalued currency (weekly & daily), shown inversely against the US dollar, would be a tailwind for the stock market. The USD/JPY chart appears to be in the latter stages of its medium-term consolidation prior to further gains for the dollar against the yen.

Brent crude (weekly & daily) is leading WTI (weekly & daily) in a recovery in response to the late-August to early-November decline. A clear downward dynamic by Brent would be required to check some further gains within this range. WTI would need to close beneath this week's low near $92.50 to at least delay scope for a further technical rally towards $100.

Total Known ETF Holdings of Gold (weekly & daily) continue to decline. However, these two contrary opinion headlines: Gold Analysts Most Bearish Since June on Outlook for Stimulus and Paulson Said to Tell Clients He Wouldn't Add More to Gold, suggest that gold's bearish phase is in its latter stages.