20081009

The WIG Index gained +0.24% points today:



Intraday chart shows many resistances above:



We had a small rally today, but it does not change situation in big picture. The direction for tomorrow is visible from US market close (-7% in S&P500). The supports and resistance are visible on charts. Breaking 32200 (last low) will be a clear sell signal. The 31500 is next price action level, but this is really guessing game. Therefore, we are still in cash.

There you can find an interesting series about bonds market. Thursday was quite good for bonds, thus there is a question - has the rally in bonds started already? Looking at chart from different bonds ETF (Vanguard Total Bond Market) or indexes (Fidelity U.S. Bond Index or Barclays Global Investors Bond Index) I wouldn't say that.

Make sure you watch Brian Shannon's video - it's truly historical moment.

CHFPLN has broken the monhly high (2.3106) and we have medium-term buy signal now. That is not a good message for polish mortgages:



Let's see Fibo levels on monthly chart:



By the way - there are "Terms of the Day" from Investopedia for last few days:
Credit Crunch (today)
Recognition Lag (yesterday)
Recession
Bailout
Credit Crisis
They seem to have sense of the market..

Sources:
[http://seekingalpha.com/article/99128-bond-expert-thursday-outlook]