UPCOMING (MAJOR) U.S. ECONOMIC EVENTS...
* Wed. Oct. 20 @ 2:00 pm ET - Beige Book Report
* Tues. Oct. 26 @ 10:00 am ET - CB Consumer Confidence
* Fri. Oct. 29 @ 8:30 am ET - Core PCE Price Index m/m Data
* Wed. Nov. 3 @ 2:00 pm ET - FOMC Announcement + FOMC Forecasts and @ 2:30 pm ET - Fed Chair Press Conference
* Fri. Nov. 5 @ 8:30 am ET - Employment Data
* Tues. Nov. 9 @ 8:30 am ET - PPI m/m & Core PPI m/m Data
* Wed. Nov. 10 @ 8:30 am ET - CPI m/m & Core CPI m/m Data
* Fri. Nov. 12 @ 10:00 am ET - Prelim. UoM Consumer Sentiment
* Fri. Nov. 12 @ 10:00 am ET - Prelim. UoM Inflation Expectations
* Tues. Nov. 16 @ 8:30 am ET - Retail Sales & Core Retail Sales Data
* Wed. Nov. 24 @ 2:00 pm ET - FOMC Meeting Minutes
*** CLICK HERE for link to Economic Calendars for all upcoming events.
Tuesday, March 05, 2013
Commodities Set to Join the Party?
Since then, it has weakened further to make a lower low and has broken below triangle support, as shown below on the Weekly ratio chart of DBC:SPX. There is a slight positive divergence on the Momentum indicator, but it has not hooked up yet.
DBC has also made a lower low in a downtrend in between the Weekly 50 sma (red) and 200 sma (pink) below a major support level of 27.47, as shown on the Weekly chart below. Of note is last week's volume spike and this week's bounce, thus far.
The AUD/USD forex pair is also in a downtrend on the Weekly timeframe, as shown on the chart below. It has bounced this week from a major support level at 1.01 and is trading just below major resistance at 1.0274-1.03ish.
Three charts to watch to see if momentum begins to rally on the DBC:SPX ratio to, potentially, signal that the Commodities Sector is set to join in on any further equity rally...particularly if DBC can rally to and hold above 27.47, if AUD/USD can rally and hold above 1.03, and if DBC:SPX can rally and hold above triangle resistance at 0.019.
Otherwise, we may see considerably more weakness in the Commodity sector, and possibly, in the Aussie $.