XLI, an industrial sector ETF, is turning lower, correlating with rising interest rates and contrasting with a previous period of falling rates.
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Commodities Update: Technical Analysis: OIL STRONG LIKE BULL, GOLD AND SILVER STILL WEAK
The creator provides a technical analysis of commodities, dollar, yields, and precious metals. They observe strengthening dollar and yields, which they believe will benefit oil and fertilizers. Gold and silver are showing short-term weakness but are expected to perform well long-term. The creator is bullish on crude oil and natural gas, anticipating potential breakouts. They also discuss the impact of rising yields on economic-sensitive sectors like the S&P 500, Nasdaq, and Russell 2000, suggesting a potential pullback.
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Tickers discussed in this post
The Dow Jones Transportation index is heading lower, reflecting weakness in economic-sensitive sectors.
The Nasdaq is selling off and is sensitive to interest rates; a move towards 5% yields is expected to cause further declines.
KRE is declining due to stronger yields and a stronger dollar, which negatively impacts economic-sensitive sectors.
Wheat is up and showing a positive long-term breakout, suggesting it is poised for further appreciation.
Nickel is showing positive signs and appears ready to start moving higher.
Newcastle coal futures are showing strong upward momentum, indicating a good setup for further gains.
Natural gas is showing strength and is poised to break out of resistance, with the creator expecting it to head higher.
Silver is experiencing some weakness but the creator is holding their position and believes in its long-term potential.