[Premium] Three Charts For The Week Ahead

Last week we focused on Gold, Industrial, Insurance

Let's move into this week's topics. We have big, important moves to track this week.

1. The first chart we're looking at is the MSCI India ETF($INDA) vs MSCI Emerging Market ETF($EEM). Earlier, we discussed the outperformance of India against the global market. This development stopped in November 2022. Since then, we have had the most significant drawdown until March 2020. However, it's a relative underperformance which has yet to reflect on the local indices.

Click on the chart to zoom in.

2. The second chart we're looking at is the Nifty 50 Equal Weight vs Nifty 100 equal weight index. The equal-weighted index gives the same weightage to all the constituents. This ratio chart shows the outperformance of the Nifty 50 group stock compared to the group Nifty 100. It exhibits the environment where top large-cap stocks continue to perform better, starting the March 2020 bottom. This development adds more positives to the strength of the Nifty 50.

3. The third chart we're looking at is a long-term chart of gold futures overlaid with copper. These metals are in the process of carving out decade-long bases. Based on weekly price action, gold is trading above its prior commodity supercycle peak at approximately 1,924, while copper is holding less than 50 cents below its high of 4.6495. Both are on the precipice of resolving higher and launching the next structural uptrend. The uptrends are already in motion. It's more about confirmation at this point.

In our view, these charts will help set the tone for this week and provide information on how we should approach the market in the coming weeks.

Also, check out our other weekly post, "Trade Of The Week."

Thanks for reading and please let us know if you have any questions.

Allstarcharts Team