The Buying Power of the U.S. Dollar Over the Last Century

The Buying Power of the U.S. Dollar Over the Last Century By JEFF DESJARDINS at Visual Capitalist The value of money is not static. In the short term, it may ebb and flow against other currencies on the market. In the long-term, a currency tends to lose buying power over time through inflation, and as more currency […]

Transports Weaken, a Caution Signal

The transport sector, which is one sector we can watch to gain insight on the direction of the economy, is showing signs of hesitation. This post is quick focus on the long trend for the transportation sector. The following chart is the relative performance of the transportation ETF (XTN) against the S&P 500 Guggenheim Equal […]

How Overvalued Are US Stocks?

US stocks are surging to new highs, however we should also be asking are they fair value? We can answer that question by comparing stock prices to how much companies are actually earning. I present two charts below to help give us some idea. The first chart shows the US S&P500 (dark blue line) and S&P500 GAAP […]

Sirius Minerals Shares: Heavy Sell-Off, But Still Trending Up

Sirius minerals, which is listed on the London Stock Exchange, recently fallen out of favour with investors. The selling was sharp and heavy. By early December price had fallen below 18, representing a drop of 67% in just the three months. This is a small stock and like most small stocks, volatile and subject to wild swings. The […]

Is GoPro Due a Break?

GoPro’s stock, like it drones, literally fell out of the sky. Not long after its NASDAQ listing a few years ago the stock took a hefty beating, losing nearly 90%. However, could GoPro be due a break? In this post I just wanted to have a quick look to see what’s going on and what signs […]

US Debt About To Cross $20 Trillion. Yawn. Global Debt At Record High. Yawn. Who Cares?

It’s the start of a new year and the US is about to make a new record – national debt will shortly breach $20 trillion. At the end of 2016 the total US debt was exactly $19.9 trillion (I guess Obama didn’t want the $20 trillion award). By the time Trump settles down in the White […]

Germany’s Commerzbank UPDATE

This is an update to my post in late September 2016 on Germany’s Commerzbank. I decided to have a quick look at this bank due to the US Trumphoria stock market rally that has taken place over the past few months. In particular it ignited a significant rally in American banks, such as Morgan Stanley, Goldman Sachs […]

Baltic Dry Index Turning Bullish?

The baltic dry index has been in a downtrend for six years with price falling from approximately 11500 all the way to just 500. However, price appears to have finally broken out of this downtrend – if it holds this would indicate a significant trend change to the bullish side. On the chart above I have […]

Euro/Japanese Yen – Trend Break or Bear Market Rally?

The Euro/Yen has been in a downtrend since the end of 2014. However, the past half year has seen a strong rebound – is the downtrend over or just an oversold bounce within an established downtrend? Starting with the long term weekly chart we can clearly see the downtrend in force since late 2014. Price managed to […]

Elliot Wave Theory

A quick post on the basics of the Elliot Wave Principle.   The Elliot Wave Principle (also known as the Elliot Wave Theory) was developed by Ralph Nelson Elliott in the 1930’s. It claims that crowd behaviour produces patterns and trends we see in markets and the wave pattern is the result of mass psychology in […]