Good morning and welcome to this week’s Flight Path. Equities noticed the “Go” development continued this week and worth gapped larger after some weaker aqua bars. We now see GoNoGo Development portray robust blue bars at new highs. Treasury bond costs remained in a “NoGo” development however the week ended with a weaker pink bar. The U.S. commodities index noticed a robust finish to the week as brilliant blue “Go” bars returned and the greenback likewise noticed energy with robust blue “Go” bars the second half of the week.

$SPY Gaps Greater on Robust Blue “Go” Bars

The GoNoGo chart under reveals that after some weak spot that noticed worth fall from the final Go Countertrend Correction Icon (purple arrow), worth gapped larger on Wednesday and costs soared to new highs within the aftermath of the election. GoNoGo Oscillator was in a position to get well constructive territory after having fallen into destructive territory the week earlier than. Now, with the oscillator in constructive territory at a worth 4 on heavy quantity, we all know that momentum is on the facet of the “Go” development as soon as once more.

A brand new larger weekly shut was painted on the chart this previous week. After a few consecutive decrease closes after the latest Go Countertrend Correction Icon (purple arrow), we noticed worth surge to a brand new larger shut. GoNoGo Oscillator had been falling towards the zero degree however reversed course sharply this week and is now breaching overbought territory at a worth of 5. We are going to see how a lot larger worth can go from right here. We are going to search for it to at the least consolidate at these ranges going ahead.

Treasury Charges Cool after Greater Excessive

Treasury bond yields noticed the “Go” development proceed this week however we noticed somewhat weak spot creep in with GoNoGo Development portray an aqua bar. This comes after we noticed a Go Countertrend Correction Icon (purple arrow) indicating that worth could wrestle to go larger within the quick time period. We are going to watch to see if worth finds assist right here and units a brand new larger low. GoNoGo Oscillator has fallen to check the zero line from above and we all know that if the “Go” development is to stay wholesome it ought to discover assist at that degree. If it will probably rally again into constructive territory then we’ll know that momentum is resurgent within the path of the underlying “Go” development.

The Greenback Jumps Greater

Final week we noticed some weak spot within the “Go” development because the indicator painted a string of weaker aqua bars following a Go Countertrend Correction Icon (purple arrow). This Icon warned us that worth could wrestle to go larger within the quick time period. As worth fell from its most up-to-date excessive, we turned our consideration to the oscillator panel. GoNoGo Oscillator fell to check the zero degree and rapidly discovered assist as quantity elevated (darker blue of oscillator line). Now, with worth making new larger highs and GoNoGo Development as soon as once more portray robust blue bars we all know that momentum is resurgent within the path of the “Go” development.