Models Get the Fed About Right (GLD, $USD)

Model Notes: The Fed action sent gold higher (we were positive on that) and sent the dollar lower (we were flat on that). So the models, and their recent signals, seem to be in good shape. Remember, the TSP (theoretical signal price) is calculated by simply using the closing price of the trading day after the signal day.

Featured market rotation: Equities for August, US Dollar for September and Bonds for October. Japanese yen for November. Brazilian real for December. Gold is currently non-rotational. I plan to alter the price structure of the services I offer in the next week or so.

Model Portfolio Signals: (Gold) Buy = 9/08 (TSP=106.13), (USD) Long = 9/17 (TSP=waiting)

Nonlinear Trading Themes:

  • CTM150917gGold: The yellow metal loved the decision, a trend to higher rates would have been quite a headwind. “Don’t rock the boat” Yellen is now caught in a tough place. If she needs council, I guess the World Bank is ready to lend a …mouth. The model gold portfolio remains long.
  • CTM150917uUS Dollar (Sept Featured Market): The dollar’s knee-jerk reaction was to sell-off. That is the technical result of no rate hike but the dollar still has some advantages (US economy and possibly a future rate hike). The model issued a buy based on today’s data. Technically, the greenback is oversold, with the next move likely to be a bounce. The US dollar portfolio is now long.

Note: Technical analysis comments are based on interpretations of non-linear trading models, combined with chart price action.

Premium offers:

  • Bond Trading Signals. I am offering a similar Mummy process for Treasuries. See the “Bond Trading Signals” tab for more info. Currently available.
  • Forex Trading Signals. I am now offering a similar Mummy process for currencies. This service will involve two signal paths, one on the US dollar and the other on a user selected second currency (1+1).The fee will be the same as the Bond trading signals. Currently available.
  • We now offer S&P 500 signals (along with the choppy $VIX). This index is a mainstay among financial participants and traders around the world. Sign-up for exclusive signals to give you the edge. Currently available.

GH Garrett – Veteran Commodity Watcher for  © 2015, “Nonlinear signals that matter in gold trading.”