The rally in equities is developing legs. The indices registered yet another day of gains yesterday, and the strength is spilling into today. One slight concern is that volumes shrunk yet again for the FTSE, which could denote a lack of conviction on the part of the bulls. I don’t think that thus matters at this precise moment, but it would become more of a problem once the index challenges the top of its recent range in the 5933 region and then the 6000 level.
I am turning warmer on GBPUSD after its action yesterday, which completely wrongfooted me. This rally too could have some way to go, based on the state of the daily chart.
There will be no European Outlook tomorrow, as I am away from the office all day. The next Outlook will appear on Monday 26 November.
for analysis of some leading European markets.COMMODITIES OUTLOOK
10.15
There are better – i.e. more tradable – trends in equities than in commodities right now. Probably the best-looking uptrend is the move higher in silver, while Brent and copper continue to look erratic. In these conditions, I am a mild bull, but no more. As the commodities retake key levels on the way back up, I will become more aggressive here. Encouragingly, EURUSD has broken higher in some style. I cannot envisage a sustained rally of significance without this being the case.
for analysis of some leading commodities.There will be no Commodities Outlook tomorrow, as I am away from the office all day. The next Outlook will appear on Monday 26 November.
Owing to a data feed disruption, there will be no Wall Street Outlook today.
