The Basic Materials and Utilities Ratio: Just Call It The Real Time PMI

Basic Materials/Utilities XLB/XLU…The Real Time PMI? So the Basic Materials/Utilities ratio is calculated by simply dividing one by the other. If you have the SP Sector data then you can use that or just use the sector ETF’s of XLB/XLU.  In Excel it would be =XLB/XLU, in Stockcharts.com it would be XLB:XLU, etc. It is simple to do this ratio …

The Copper Gold Ratio: What it is and why you should track it

What is it and how is it calculated? The Copper/Gold ratio, HG/XAU, is a simple indicator that you can calculate on any platform that allows you to manipulate the data. All you do it take the price of copper and divide it by the price of gold. In Excel, it is literally =HG/XAU, in Stockcharts.com you go $copper:$gold, etc. It …

Market Sentiment 101.1

“The time to buy is when there’s blood in the streets.”-Nathan Rothschild…maybe Nathan Rothschild is credited with saying that quote, but no one seems to know if he actually said it. Regardless of if he said it or not, the idea rings true. Buy things when no one wants them, and sell them, when everyone wants them. Presumably, the trough …