Global Macro Monitor: Overbought and Oversold Markets as of 15th February
Comment of the Day

February 18 2013

Commentary by David Fuller

Global Macro Monitor: Overbought and Oversold Markets as of 15th February

My thank to a subscriber for this informative item

David Fuller's view Note: to see the names and numbers clearly, I clicked on the graph shown on the link above three times.

I would not read too much into this beyond the short-term signals. For instance, Australia's "Overbought" reading indicates that it is due for a reaction and consolidation but it is likely to be a main beneficiary of China's recovery, in my opinion.

At the opposite extreme, gold's oversold reading suggests that a technical rally is due before long. However, it will have to move above $1700 to squeeze shorts and convince people that demand is regaining the upper hand.

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