Tuesday 26 November 2013

Market ... danger ahead?

Tuesday 26th November 2013

The charts below have turned me bearish. So I've shorted the major US indices.
Valuations close to decade highs
S&P forward P/E approaching 10 year highs
Source: Bloomberg

 Investor sentiment turning down
AAII US Investor Sentiment Bull to Bear ratio compared to S&P
Source: Bloomberg

 Pitiful volume throughout the latest bull market and getting worse
Prior bull markets and associated volume
Source: Bloomberg

 VIX index at lows - is the market complacent?
VIX Index at lows
Source: Bloomberg

 AUDUSD decoupled
AUDUSD compared to S&P - decoupled
Source: Bloomberg

 What is going on in China???
Chinese BBB 5 Year Corp Credit Yield
Source: Bloomberg

 World GDP forecasts cratering while market at all-time highs
World GDP consensus forecasts, %YOY compared to S&P
Source: Bloomberg
Disclaimer: The information, discussions or topics referred to on this blog should in no way be considered “advice” to buy or sell anything. The information which may be referred to is freely available in the public domain and where required the source of information is referenced to for verification. While every effort has been made to ensure the veracity of any information contained within this blog, the author accepts no responsibility for the accuracy of any information contained within this blog or for the sources of information which may be referred to. Readers are responsible for their own actions and interpretation of the information contained within this blog. 

No comments:

Post a Comment