The front end of the curve has predictably moved lower in response to the recent hike in the Fed Funds rate. The second quarterly in the Eurodollar futures complex is trading in a range with a lower support level at around 98.50. See the chart below. Coincidentally, we have seen the June 2020 quarterly contract…
It is amazing how technical analysis can inform us of the fundamentals! Recently, a look at the 30 year futures proved very interesting. Take a look back at the entry, BIG PICTURE ANALYSIS OF 30 YEAR FUTURES: UP WHERE THE AIR IS THIN, and see the several interesting questions that the chart begged to be asked. At that…
After observing the technical analysis of the last post on the S and P 500 futures, observe the next level where we might expect to see consolidation – around the psychological 1900 price point. Observe where the rectangle is drawn in the chart. Failing to consolidate at this level should portend a continued sell-off.
Take a look at the trend channel and the ellipses drawn into the weekly chart of the Standard and Poor 500 futures chart. The rally of 2013 pictured in the chart sure does appear very persistent and orderly! (Easy money policy works?) Failing to rally this week will bring us closer to penetrating the bottom trend-line at 1950.50. Obviously,…
Are European vacations becoming affordable again? The highly touted common currency floated by the European Union just over a decade ago looks to be headed back to its roots. Many have talked or written about the current strength of the dollar versus the euro, but few resources will as dramatically present the recent thrashing as…
A look at the quarterly and monthly charts of the 30 year futures contract tells a big story. Thirty year futures retraced rather vigorously throughout all of 2013. Our quarterly chart below shows five consecutive quarters where 30 year futures close lower (from the last quarter of 2012 to the fourth quarter of 2013). Signs of…
Take a look at price action in the Ten Year Futures contract on this weekly chart. As the contract rallies throughout May and into June observe how the Bollinger Bands tend to steadily converge. The bands have basically continued to converge to the present week. This indicates how volatility has waned throughout the summer. Yesterday’s chart of…
Since June, we have seen noteworthy price consolidation between the 124 and 125 handles in the ten year future contract. In each instance encircled in the below daily chart, after about three to four days of consolidation, we saw at least a 36 percent retracement towards highs made on May 29th and August 15th.
