Kirkpatrick’s Weekly Market Strategist The technical stock market letter published weekly since 1976 February 9, 2018
Intermediate-Term Trend Table
Index Signal
BKX Up BOND Dn UTY Dn
Date
Sig Pr
Cur Pr
9/22 97.04 108.18 10/27 151 15/32 143 26/32 1/12 640 618
*Change from last week
long-term u.s. tREASURY bONDS The 30-year US Treasury Bonds formed a small diamond pattern last week and then broke to the downside. The price curve is now accelerating on the downside. Where an upward accelerating curve denotes speculation, a downward accelerating curve denote panic. As such the eventual objective is almost impossible to predict. As with an accelerating upward curve, the first sell should be when the price either crosses above the lower channel line (large dashes in the chart) and back into the downward channel or the breaks above the internal trend line (small dashes in chart).
Conclusion: Position is short
GOLD The gold price is taking a short rest from its sharp upward rally and is forming either a head-and-shoulders top or a triangle. The neckline in the pattern was broken early last week, signaling a downward trend with an objective of 1310. The price reached that objective this past Thursday. It is unlikely that the price will now rise back to the cradle of the triangle formed by the head and right shoulder, and so we wait for more evidence of a base. Conclusion: Position is short on neckline break.
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