Three interesting charts to watch in March

I try to imply strength or weakness for the stock market from non-equity charts that appear to be either highly correlated to equities or have a high inverse correlation to equities.  These charts are especially useful when equity markets are hitting new highs and therefore have no local reference levels.   As SPY pushes out to a new high the following three charts should be monitored. Where price is relative to the levels shown has an implication for equities in my opinion and will give us a clue re whether the market rally can be sustained further.

 

EURJPY, a highly correlated chart to SPY, is in a ST weak price location.  Price printing time above 141 would be a stronger price location and a further positive for equities.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Financial ETF,  XLF, is probing above major Resistance today .  Price printing time above 22.0 would be a stronger price location and a positive for the general market.  Potentially this chart could fail here.

 

 

 

 

 

 

 

 

 

 

 

TLT (T-bond ETF), is inversely correlated to SPY but currently holding a strong price location.  If it can maintain its position above 106.34 it suggests strength for this chart which could be a negative for equities in the longer term.