Big Action within the Turmoil
There is a lot of turmoil within this Strong dollar trade envelope but why wouldn’t there be, a macro turn up in the dollar and a macro turn down in the S&P setting up. Here is a table of the trade components with the S&P priced at the moment at 3636.
Yesterday we included the chart of the Biden Strong Dollar trade. Here is a table of the components as of noon today with the S&P at 3636.
Along the same lines, our Fed Influence trade chart is seeing a lot of turmoil also. The Short gold part is really working while the short stocks component is still working against us. This will not last long, we will be getting out of the short gold component soon as the main focus is a massive down in stocks starting next week. Here is an updated chart, with the really long tail to the right.