UK Inflation at 3 ½ year lows, UK unemployment at 4 year lows and the currency is at 3-year highs. In fact, the pound is posting is best 7-month period since the 17% posted in March-October 2009, when global markets were ignited by joint BoE-Fed quantitative easing to the benefit of risk currencies such as GBP. Lower inflation usually implies a weaker currency, but in the case of the UK, the steady decrease in CPI has occurred in tandem with the sharpest decline in unemployment since the late 1990s.
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One great Italian mathematician Leonardo Fibonacci told another -- Gerolamo Cardano -- to use his #GoldenMean. Here… https://t.co/Bw1yGGEVQa(yesterday)
ماذا قال فيبوناتشي الى كاردانو?
"إذا تستعمل معدلي الذهبي، سوف تصل إلى 2.26" https://t.co/rLkAgLY0AU(yesterday)
Friday's plunge in yields was just as notable as the preceding gains. As Fed chair Powell gears to speak next Thursday about the economy, here are the things im watching: 1) favourite of mine involving an overlay of HUI gold miners, suggesting major developments in XAUUSD (i will share these with the WBG next week); 2) The same applies to the Gold/SPX ratio, showing similar technical positives to the patterns of 2001, until support gave up these past two weeks. 3) Friday's candles in 2 and 10 year yields suggest neutral-negative moves early in the week, but it is the midweek-Thursday that Im concerned about. 4) USDJPY knived through its 200-DMA and its 55-WMA, calling for 107.20 as a short-term target. Our WhatsApp Broadcast Group entered this pair back in 104.60s. 5) Those who trade indices have seen the balant manner in which the jump in yields and oil boosted the DOW30, before their sharp Friday pullback dragged down the index, while supporting NASDAQ. We were active throughout the week with our WhatsApp Broadcast Group (WBG), sharing trades/analysis on DOW30, Nasdaq, XAUUSD, USDJPY, EURUSD and GBPUSD. Tune in for more next week. This is far from over.
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Latest Hot-Chart - Feb 27
Analog of USDJPY Net Longs Breakdown
The prolonged ascent in USDJPY remains fortified by the technical breakdown in net JPY futures longs (inversely related with USDJPY pair) shown in this striking analog from Q4 2016.
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