Friday Thoughts
Giving Thanks / Upside Option Chasing / Yen Valuation - Technicals
First of all, many thanks to all my subscribers and those who have just recently joined the pack. I am not expecting to get Mr Burry’s following, but it certainly motivates me to get some praise and acknowledgement that what we offer here has value to the readers out there. Long may it last.
As a reminder, being a paid subscriber not only gets you the full whack of all paid-for posts on here but also automatic access to our strategy and technical analysis site over at pa-globalmacro.com. Simply log in using the same email you subscribed on here, and you should have access.
The “how-to” guide contains all relevant information as well as a walk-through on how to sign up to our daily dashboard and signal alerts, which scan patterns across more than 200 global macro assets (from equities, rates, FX to crypto).
But that’s not all. On a daily basis, I update the US equity sector map, which contains valuable information about internal sector rotation; the full chart book includes individual charts featuring all my technical models. In addition, my buy-and-hold portfolio (launched in 2022) is also updated daily and tracks the individual constituents and overall performance versus the SPY.
The long-standing asset allocation strategy has now also moved to the site, rebalancing weekly between equities (SPX), bonds (US 10-year treasuries) and T-Bills. The strategy is powered by individual equity and bond models, which have been running since 1977. The results below speak for themselves. For a full run-through, please see this post. I am also currently working on integrating my regime models to the site. I am beta testing the feeds and accurate landing, so bear with me as I am rolling this new feature out.
My loyal friend and Macro FX virtuoso, Macro D, has laid out a great article this week outlining his thoughts on the recent Yen intervention and what he thinks is driving it behind the scenes. For those who haven’t read it, I would urge you to put it on your reading list.
The Great Currency Intervention
The mighty Yen was approaching another breaking point when the currency market suddenly erupted. What followed was not simply another Japanese attempt to slow the decline, but a coordinated intervention carrying implications far beyond USD/JPY.
In addition, he has opened up his FX book for August in his Trader Corner post at the beginning of the month.
His latest thoughts, as well as my own macro observations for the week just gone, are below the paywall.
Let’s go!
