Commodities And Rates Attempting Breakouts At The Same Time

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When it comes to assets being in long-term bull markets, Commodities and interest rates do not come to mind, as each has endured long-term bear markets. Could these long-term trends be coming to an end? Possible

The 2-pack above looks at Commodities ETF (DBC) and the Yield on the 10-Year note on a monthly basis over the past decade.

Each is attempting to break out above resistance levels at the same time at each (1). We haven’t seen this type of an attempt in years and years friends!

If these long-term trends are changing directions, numerous out of favor commodity assets would do well going forward.

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Comments

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Hallsteinn Arnarson 2 years ago Contributor's comment

Hi Chris, I enjoy reading your chart analysis. The analysis is usually clear and the charts clean (no indies etc.). I have seen you use log scale charts but it looks like you are using a linear scale on the two charts above and on the US dollar index chart you posted on seeitmarket.com (pls correct me if I am wrong). As you know, on long term charts diagonal/sloping trend lines look different on a log scale than on a linear scale. Rgds, Halli.