4/21 Weekly Ozone Report - Feeling out the Turbulence, Vision Research Update, Inflationary Risks
Standby for the PDF version in next hour. In this weekly Ozone report - Don discusses 'turbulence' in some of the charts and data, Six provides an update for Vision, and John discusses the CPI & more.
Feeling out the Turbulence (@DonMiami3, MacroEdge Chief Economist)
Good Sunday evening to everyone,
I think we have plenty to discuss this evening and know we have a wide range of topics that will be discussed by the team this evening. Beautiful day here on my end & I enjoyed getting to hear John lead our latest edition of MacroEdge Radio on Friday, great topics were discussed by all. We’re making incredible strides at MacroEdge and I am very proud of all of the work everyone has done to get us to this point. There is much for us all to do ahead as we improve our client interface and more through Ozone and Vision. Vision is available here:
This evening I will do what I don’t often do which is discuss some of the current technicals that I am seeing along with some of the latest employment data that was released this past week such as the KC Fed Labor Market Conditions Index (LMCI).
I think I am going to keep much of the usual chatter quite brief this evening and focus much more on the markets and data since we had a very interesting last week and things look like they are going to be interesting in the next 2-3 months and beyond.
In our note from April 7th we discussed the parabolic pattern on the Nasdaq that terminated on April 4th:
Markets have seen quite a bit of correction since the 7th - and the weekly candles last week (particularly on NQ) are of great interest to me.
We also discussed the Panic/Euphoria index:
Of note - we currently stand at +.43 on the latest reading for market euphoria - indicating a market occupied by essentially reckless gambling and 0DTE speculators that are better fitted at the blackjack tables at the Wynn then on their devices on Robinhood (as we discussed in the Redeye, as well). Market sentiment gauges are useful but it’s important to note that these can remain in euphoria/panic periods for extended periods as seen above.
