Why would Gold and the S&P be so out-of sync now? Would Gold know something the S&P doesn’t? Or… The S&P knows something. Trade this divergence.
The disconnect this morning between the CAC40 and the EURUSD is worth keeping an eye on. A priori, the headline telephone conference is holding up the CAC40, why is the EURUSD falling? This looks like a divergence worth trading either from the long EURUSD or short CAC40 Futures (or both). The EURUSD is also nearing a resistance level at 1.239.
The CAC40 looks like this:
I’m not sure what’s going on here, but I’m still looking at the EURUSD trade I mentioned here, but now in the context of a CAC40 divergence. Interesting…