A taste of the week ahead

A taste of capital market observations and trades I may position for;

EUR/GBP is nearly Oversold,
should occur in the coming weeks, near 0.8512 level, then selling British Pounds and Buying Euro’s would be the trade.

Looking for leg lower in Natural Gas.

Oil has seen a healthy mean reversion, maintaining bullish stance.
$58.80 in Brent means adding to Long’s.

Short in the Semiconductor Index (SOX) makes for market hedge?

Shorting Corn and/or Soybeans

The Gold Volatility Index is close to Oversold. If the RSI touches 30, probability of Gold rally increases. Been accumulating gold related securities for 6 weeks.

Although watch the price action in Silver.
Silver’s trend is bearish.

Looking to re-enter the Long Platinum trade at lower prices.

I see risk in Iron Ore (62% Fe, CFR China) prices to $125 and $118. Its currently trading at $167

ASX 200 poised to break ‘hard’ either way, with odds suggesting higher prices, but let’s wait for the break.

Although some major equity indices made higher weekly closing highs, some made made lower highs and lower lows.

French 10 Year bond yields negative since June 2020.

German 10 bonds have been negative since April 2019

March 28, 2021
by Rob Zdravevski
rob@karriasset.com.au