Commodity FX Remain Bearish Trend, BUY THIS!
Industrial metals stagnate while waiting on China, Oil is not
Oil is falling back to $70/bbl on the promise, by Israeli Prime Minster Benjamin Netanyahu, that Israel will not hit key infrastructure within Iran. This follows the rollover from the fading hopes of a Chinese stimulus plan.
Netanyahu told the Biden Administration that Israel will strike strictly military targets opposed to key nuclear and oil infrastructure. Israel or whomever would not dare interrupt global oil supply chains as that simply would be a ripple too far. So, Israel will bomb Iran knowing well that Iran cannot respond meaningfully as the Mullahs
This is something I’ve spoke on ad nauseam, but, nevertheless, we have to respect the market’s need to long hope and the trading ranges.
Learn more about the trading ranges here.
If we look at a broad picture of economic activity, the primary commodity FX economies are stagnating; and if we look at manufacturing output they are outright contracting.
Now that oil is beginning to reengage bearishness, there is one thing I’m buying that will get everyone’s panties in a bunch….