Macro Correlations
Sep 04, 2017
Arun S. Chopra CFA CMT
September 2017
September 2017
- Macro correlations are an area of particular interest. The more important ones happen in currencies, interest rates, and commodities.
- A look at how long-term technical patterns can key us to macro shifts.
- An in-depth look at the yen's influence in this and past cycles.
- A look at a current scenario.
Macro correlations have been a particular interest of mine for a long time. This includes common concepts of intermarket analysis to some of the more unique relationships that can come and do often go.
Although many claim that today's managed atmosphere has rendered a lot of these relationships useless, I beg to differ. Markets move in trends, and when large trends change, asset class relationships will change as well, creating durable opportunities. Some are easily explained by economics, others simply are what they are, market phenomenona.
Some are likely happenstance and spurious at best, but by using longer-term technical analysis, some...