Tuesday, 1 March 2011

Gold to Cash, Banks to Bullish

A couple of new signals on my latest signals table: gold goes from bullish to cash this week, BKX Bank Index goes from cash to bullish. Also, on Monday, March 7, natural gas goes from bearish to cash. Sorry for the tardy post about last week's Commitments of Traders numbers. I updated the signals table on the weekend, but didn't have a chance to post on it until now. Good luck this week!

2 comments:

In Debt We Trust said...

Hi, here is something interesting. If you look at the SPY on a monthly chart it tends to go up in March an average of 1-1.5%. I'm not sure why it does that but would be interested in your thoughts. Pull up a chart going back at least 10 years and you will see what I mean.

Alex Roslin said...

Hi In Debt...,

Thanks for your comment. The S&P 500, like most major stock indexes, has a seasonally favourable period from the fall to the spring. You can find charts showing this by searching for "seasonality" and "S&P 500," for example. Crude oil, by the way, has strong seasonality from mid-winter to mid-spring.

Important caveat: Doesn't mean these patterns work every year though - each year is different!

Regards,
Alex