E Nuff Sed's  Instablog

My long term technical charts are showing extreme bullishness.  This is reminiscent of the 2003-04 period and earlier periods such as the mind 1990's and early 80's.  Note that the market has crossed over decisively the envelope channels and moving into the upper bounds of the bollinger bands.

Employment is considered a lagging indicator for the economy.  Canada being the largest trading partner of the United States can be considered a "leading indicator" for the US economy.

The Canadian employment picture turned decisively in September signaling that the recession in the 8th largest economy in the world has ended and the economy has started to expand.

Click here for Statistics Canada Chart.

The Canadian economy added 31000 jobs (most of them full time jobs).  This is remarkable as a northern country the economy usually sheds construction jobs in the fall and winter.

With its northern neighbor now having turned the corner can the giant US economy (10 X the size of Canada) be far behind?

The Coppock's guide continues to sharply curl upwards.  The coppock guide is a long term market timing oscillator and is a reliable indicator of a market bottoms and tops.


September is now the 5th month since the Coppock signalled a "buy".   As you can see from the chart below, the guide has an enviable long term record of signaling a "buy" recommendation, notwithstanding a couple of false positives.



I have calculated the Coppocks guide over the last 109 years.

For a decent coverage of the Coppock guide read the following article from the Telegraph.

www.telegraph.co.uk/finance/comment/tom-...