The S&P's Long Correction As Gold Shorts Press Their Bets

This is an abridged version of our Daily Report.

A really long correction

The S&P is at day #110 after falling into a correction, surpassing its usual length of around 90 days. Other times an S&P correction lasted this long without either setting a new high or falling into a bear market, it ultimately led to 11 new highs and 3 bear markets.

Gold shorts press their bets

Even as gold sinks to a 52-week low, open interest in the futures is rising rapidly.

This is unusual and has led to more weakness. Most of gold’s bottoms have coincided with a sudden and dramatic drop in open interest.

Muddled metals

Palladium is on the cusp of closing at a 50-week low with its worst weekly loss in at least 50 weeks. Over the past 25 years, it has done something similar 5 times.

Small-caps vs tech

The Russell 2000 fund, IWM, was up more than 0.5% on Thursday while the Nasdaq 100, QQQ, was down more than 0.5%. That’s happened 40 other times.

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The post titled The S&P's Long Correction As Gold Shorts Press Their Bets was originally published as on on 2018-07-20.

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