Courtesy of Chris Kimble.
I don’t think I will be telling you anything new when I share that a global sell off in stocks is taking place the past few days.
If I were to have shared that the Euro would be a safe haven currency last week before stocks sold off, what would you have said? Would you have said something similar like the guy above?
Below looks at the current price patterns of the Euro and King Dollar
CLICK ON CHART TO ENLARGE
As you can see from the two-pack above the world is buying the Euro as its breaking falling resistance and the world is selling the US Dollar as it breaks support. Think this price action will surprise a few investors?
Below looks at the Hang Seng index over the past 50-years.
CLICK ON CHART TO ENLARGE
The Hang Seng index has been above one support line for the past 40-years, which is pretty rare on a global scale.
This index is pretty correlated to the S&P 500 as it hit important lows in 2003 and 2009.
Correlation risk remains high right now, from a stock market basis. If this 40-year support line totally gives way, the price action should be respected on a global scale!
–
To become a member of Kimble Charting Solutions, click here.
