Red Sea

Among them were UK gilt indices, hardly surprising after sell signals on major government bonds in May – and the unofficial buy signal we saw in May on the corporate bond index we track proved short lived, meaning all of the bond indices we track are now flashing red, pointing to further downward pressure. Problems in Greece prompted more sells on European equity markets, including the blue chip EuroStoxx index which tracks its 50 largest companies. A sell signal on the Australian market could prove well timed given its exposure to China, whose current stock market carnage have yet to trouble the Coppock indicator – it’s one of only two equity markets still showing official buy signals, a situation which seems unlikely to persist. Only a buy signal on the GCSI agricultural commodities index provided any respite.

So, while we’re usually blasé about Coppock sell signals, given their patchy track record, the sheer weight of sell signals suggests investors need to be circumspect about the prospects for global markets.

June's new Coppock signals

June's Coppock Readings

*New signals