Higher Yields Hurt SPY and GLD But Boost Dollar Crosses - Market Update 11/9/2010

Market technical update by @Dvolatility for 11/9/2010

I'm only looking at equities, Treasury yields, gold and some Dollar crosses in this post. As you can see in the chart below, $SPY, $GLD and $EUR/USD (Euro/Dollar) fell as the 30-year Treasury Bond and 10-year Treasury Note yields rose more than 3%. You don't see it on this chart but the yield on the 10-year note broke above the 50-day moving average and the 30-year bond yield broke above the 200-day moving average. Both major technical levels in my opinion. See this post from earlier with $TNX and $TYX charts.

$SPY sold off at the 61.8% retracement level and broke through the April high. SPY is still above the 50-month moving average 120.58, I'm watching that MA. SPY closed at $121.61. I reported earlier that USD/JPY broke a minor symmetrical triangle and downtrend and could test the major downtrend line and 50DMA. Yields will be interesting to watch. By the way Ireland credits were top wideners on CMA's most active credit default swaps. Chart after the jump.

TNX-X: 10-year Treasury note yield Index
EUR/USD: Euro/US Dollar
USD/JPY:US Dollar/Japanese Yen
TYX-X: 30-year Treasury bond yield index

1-day performance comparison courtesy of FreeStockCharts.com

Related Posts


HTML Comment Box is loading comments...