My indicators are showing bullish divergence on all of the major future markets. We could have a very tradable rally here in spite of the ugly headlines. As is always the case, how much is being priced in is key to the analysis. The market now is poised to react violently to the upside with a whiff of good news.
(Reuters) – Global shares edged up to their highest in nearly two weeks on Tuesday, but the rally looked to be running out of steam on the back of concerns over Europe’s debt troubles and U.S. growth. World stock markets, as measured by MSCI, were up 0.17 percent, but European markets were mixed, with Germany’s DAX index down half a percent and U.S. futures pointed to a weaker open for Wall Street. With big-ticket data like U.S. job numbers due later this week, many investors remain uncertain about a recovery in the world’s largest economy, leaving risk for a correction … Read more