Post-G20, The US Dollar Is Armed And Pointed At Europe For 2019. Could Capital Flows Be The Trigger?

Chart based progressive global trading strategies, Chart Partners

Thomas Schroeder

Chart based progressive global trading strategies

Chart Partners

Chart Partners objective is to discover medium-term cycle turns and profit opportunities before they unfold, within structural trends while preserving capital with clear degrees of risk. We have real return ideas. 

Markets are dynamic and trading systems must reflect this. It is crucial to determine underlying correlations and lead-lag relationships within global markets and the impact on linked instruments. Our weekly Chartonics product gives you short-term trading strategies that can be applied within the medium and longer term macro trends that are mapped out in our strategy updates. 

Our methodology fuses global market variables and isolates drivers in trends. We specialize in FX, index trade in NY and Asia with a focus on Asian stocks. 

Technical Analysis

Shanghai Stock Exchange Composite Index / Technical Analysis

Shanghai Stock Exchange Composite Index (SHCOMP INDEX)

Long positioning ahead of the G20 worked well. <a href="https://www.smartkarma.com/insights/trading-into-and-out-of-the-g20" target="_blank" data-smartkarma-citation="insights:26308">Trading into and Out of the G20</a>.Sunday's note for premium subscribers outlined assets to get long on the open Monday - ASX, Brent, HKeX and CNOOC.Rally spike today in China/HK/USD/CNH underwhelming which opens the way for our base case of a rally into and fade out of the G20. This was the stance outlined in <a href="https://www.smartkarma.com/insights/tencent-fresh-lows-on-tech-carnage-in-2019" target="_blank" data-smartkarma-citation="insights:26139">Tencent Fresh Lows on Tech Carnage in 2019</a>.Shanghai composite continues to struggle under the 2016 lows and does not bode well for a sustained rise barring a momentum rise above 2,700. Troubling signs as trade concerns linger.Event spikes tend to fade but we need a dip and rally sequence to confirm an S&amp;P top at 2,820 or noisy rise above this level. Tactical dip and rally sequence should be used to trim, trade higher and short for a bigger fade.We outline the weaker markets to short into immediate strength.A December equity peak would surprise market consensus.

Long positioning ahead of the G20 worked well. Trading into and Out of the G20.Sunday's note for premium subscribers outlined assets to get long on the open Monday - ASX, Brent, HKeX and CNOOC.Rally spike today in China/HK/USD/CNH underwhelming which opens the way for our base case of a rally into and fade out of the G20. This was the stance outlined in Tencent Fresh Lows on Tech Carnage in 2019.Shanghai composite continues to struggle under the 2016 lows and does not bode well for a sustained rise barring a momentum rise above 2,700. Troubling signs as trade concerns linger.Event spikes tend to fade but we need a dip and rally sequence to confirm an S&amp;P top at 2,820 or noisy rise above this level. Tactical dip and rally sequence should be used to trim, trade higher and short for a bigger fade.We outline the weaker markets to short into immediate strength.A December equity peak would surprise market consensus.

Hang Seng China Enterprises Index (HSCEI INDEX)

Korea Stock Exchange Kospi Index (KOSPI INDEX)

Kuala Lumpur Composite Index (KLCI) (FBMKLCI INDEX)

Taiwan Stock Exchange Weighted Index (TWSE INDEX)

Australian Stock Exchange All Ordinaries Index (AS30 INDEX)

Australian Stock Exchange All Ordinaries Index

Post G20 Fade Playbook with Best Short and Longs