Weekly Macro Analysis 24.03.24
The Bull is Back
Lumber to Gold: Risk On
IEF/TLT: Risk On
XLU/SPY: Risk Off still, but pointing up
XLY/XLP: Risk Off, but pointing up
SPY: New ATH, as usual
Volume and Breadth recovered this week:
eTorians are record short against the Yen. They also bought Gold and Silver.
Strongest: Communication Services, Industrials, Technology
Weakest: Consumer Defensive, Healthcare, Real Estate
Conclusion:
Risk Signals are turning towards Risk On and Powell was a super Dove last week, it certainly caught me by surprise.
The market took it as a bullish sign and ran with it, although a sector rotation might be in the cards. As we are seeing strong moves into Financials and Industrials.
Last Week I showed this chart of the week of the UK100
And indeed we saw a massive Breakout during the week:
Great will have a closer look 👍
Thanks for providing the great content. One question arises from the ratio charts. For example the IEF/TLT shows the ratio above but what ist the line/indicator below?