Intraday Intermarket - TheoTrade

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1 Inter-market Technical Analysis for October 29, 2018

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We remain in HIGH VOLATILITY ENVIRONMENTS across the board, and we not the

relationships between markets for clues.

Stocks and Oil continue to fall while Gold, the Dollar, and Treasuries continue to rise. It's a

RISK OFF market and we're on guard for any signs of relationship reversals in the week ahead.

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10-Year Treasury Notes ($UST – Price)

Weekly

We're again seeing Bonds off the 2018 lows near 118 which is our target and focal point for

the week(s) and we're finally seeing the bounce off this level. It's the 20 week EMA.

The downtrend continued with a breakdown beneath 118, sending the 10-year note Yield

above the key 3.0% level (our focal point) ahead of a bounce-week last week off support.

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Daily

The ongoing downtrend continues with Bonds - so far - as price rose back just above the 118

index level after our expected bounce.. We're seeing a snap-bounce off the 117 level as price

once again challenges the underside of 119 pivot level. Use this as your trading reference level

- along with yields near their highs - for this week.

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US S&P 500 ($SPX)

Weekly

We'll start with a quote from last week in the high volatility enviornment:

If we do NOT see a bigger bounce off this level, we could be looking at an alternate thesis

extended sell-off toward 2,600 or lower.

That's true again on the bigger picture as 2,600 is the key pullback level we've achieved now.

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Daily:

Keeping that logic going, we have 2,600 as our critical BOUNCE OR BREAK target and we will

be ready for a bounce in a higher volatility environment.

However, additional failure here this week opens the market for additional selling and yes it

can go lower rapidly as it already is.

Stay safe and continue trading the LOWEST timeframe you possibly can or selling distant strike

premium (preferably distant and lower puts) in the higher volatility sell-off event.

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Gold

Weekly

Watch the next swing which achieved our first target into the falling 20 week EMA near

$1,230 and the bullish pathway toward $1,300 if above this resistance price or lower with a

larger buy swing potentially complete.

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Daily

We had a continued liquidation/breakdown event beneath $1,310 that collapsed Gold toward

$1,290 and then the recent reaction resulted in an extended collapse toward $1,250's target

and beneath all that toward our weekly $1,220 target beneath $1,200 with a rally/aggressive

bounce off $1,180 triggering last week

Gold remains in a sideways trading range with and end-of-week bullish breakout on high

volume and momentum that could set in motion a pathway toward $1,300.

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WTI Crude Oil ($WTIC)

Weekly

We were correct on the Oil pullback back down away from the $75.00 initially and we'll keep

watching the DAILY chart for clues from here as a logical yet strong bounce continues off the

$66.00 which is the 40 week EMA. Note the sell-swing into support target on the weekly

which is in finally challenging a trendline and the 200 day SMA on the Daily Chart.

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Daily

Note where we are on the WEEKLY CHART (RANGE) and frame your next trade(s) in terms of

the departure - off support/target from $69.00.

We're at the lower end of our range and thus don't have clear plans for Oil except to trade the

immediate departure from $66.00 this week as highlighted as the broader range within a bull

market continues and then play the potential BOUNCE off the $67.00 target as labeled above.

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US Dollar Index ($USD)

Weekly

We're watching the Dollar Index strengthen but stabilize into a trading range with divergences

on the Daily Chart. Focus on the DAILY levels and note the SELL SWING PATHWAY that

develops away from the current $96.0 level toward our Daily Chart Pivot and weekly level

above 94.00 which gives us a BULLISH BOUNCE THESIS off 94.00 that is still in motion.

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Daily

We see the Dollar into our key support/bounce target with a rally developing in an ongoing

uptrend.

We'll look to trade the immediate bounce above 94.00 which has so far been successful into

the 96.00 target. Use the Weekly chart as your pivot as we prepare to trade the departure

from $96.00.

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Disclaimer:

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Performance is not necessarily indicative of future results.

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Intraday Intermarket - TheoTrade