What Gold, Lumber, Bonds & The Mid-Term Elections Are All Indicating About Stocks

Earlier this week Keith was a guest on “CEO Money: Americas Business Cycle” where he discussed inter-market relationships that you should be keeping an eye on now.

These relationships can help you anticipate the major trends in the market.

What the video here:

Video length: 00:21:18

Below is chart that contains several of the relationships Keith refers to in the video. If you’re a premium BigView member you can find this chart updated daily in the "Risk Gauge – More Key Ratios” section of our BigView service.

Key Market Ratios

In addition, he discussed seasonal trends that are not acting as they have historically, and why the current state of the market’s momentum looks quite negative.

You can see the breakdown in the daily and weekly momentum indicators in the charts below. The blue and green moving averages represent 50 and 200-period moving averages in both the price and Real Motion (MarketGauge’s momentum indicator). Real Motion will often lead the price pattern.

Notice how Real Motion in many of the ETFs has turned negative by the 50-day average moving under the 200-day average.

This condition become a more timely indication when the daily or weekly closing value of Real Motion (the dots) is trading under the 50 or 200-period moving average before the price of the ETF has done the same.

The red circles in the charts represent the condition where Real Motion is warning that the key price moving averages probably will not offer the support the bulls are hoping for.

Daily

Weekly

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