IBB
320.74
+0.63
+0.20%
 
AAPL
146.28
+0.65
+0.45%
 
TVIX
20.51
-0.43
-2.05%
 
XIV
85.2
+0.89
+1.06%
 
TNA
55.78
+1.05
+1.92%
 
TZA
16.41
-0.35
-2.09%
 
UVXY
9.42
-0.21
-2.18%
 
NASDAQ
6265.25
+28.565
+0.4580%
 
S&P500
2438.3
+3.8
+0.16%
 
NYSE
11733.2
+20.68
+0.18%
 
IBB
320.74
+0.63
+0.20%
 
AAPL
146.28
+0.65
+0.45%
 
TVIX
20.51
-0.43
-2.05%
 
XIV
85.2
+0.89
+1.06%
 
TNA
55.78
+1.05
+1.92%
 
TZA
16.41
-0.35
-2.09%
 
UVXY
9.42
-0.21
-2.18%
 
NASDAQ
6265.25
+28.565
+0.4580%
 
S&P500
2438.3
+3.8
+0.16%
 
NYSE
11733.2
+20.68
+0.18%
 

Death Cross Warning from Commodities

On a daily timeframe, Reuters/Jefferies Commodity Index <CRB> is about to signal an ultra bearish death cross. Since February 2016, price action has rejected the 50/100/200 simple moving average. The self-imposed production cut and freezes from OPEC has been merely an illusion with the physical market continuing to be oversupplied. Even in China the self-imposed Iron Ore cuts was also an illusion with Iron futures crashing >30% in recent weeks. The commodity industry has not rebalanced and this may signal the next deflationary wave is right around the corner.

<CRB> Daily death cross

<CRB> weekly rejects 50 and 200sma

<CRB> monthly descending contracting wedge appears to show rebalancing is not anytime soon, which signals deflationary trends for the coming years unless a major supply disruption occurs.