From the desk of Tom Bruni @BruniCharting
We continue to focus on buying the strongest stocks, but we’re also always playing devil’s advocate by identifying risks to the bull thesis.
Two weeks ago, I outlined the “Island Reversals” and other areas of resistance in many global indices. Today, most of these indices are still stuck below those levels and instead are pushing towards multi-week lows.
Last week we looked at the weakness of US Financials on an absolute and relative basis and the S&P 500 failing to exceed resistance relative to two of its most liquid alternatives, US Treasury Bonds and Gold.
Today, I want to look at Crude Oil and why I’m adding it to our list of risks to the Equity bull case.