The Spanish stock index is back at its 2009 low, and out of its lower bollinger band.
Gold miners are out of their lower bollinger, at an extreme of pessimistic sentiment, and gold miners to gold ratio is at a major extreme.
Source: EC De Groot
And two from Tiho: investors extreme bullish positions on US dollar and public opinion on silver extreme pessimism.
Source both: Shortsideoflong
Extremes typically mean opportunities, especially when they ‘fit’ together. There are several contrarian opportunities to choose from here. But patience is often required (the market can stay irrational longer than you can stay solvent).
The downside that I was expecting into this coming weekend’s full moon eventually materialised. Once we are through that, I will consider new trades from these areas. Regardless of the outlook, a period of mean reversion eventually comes to pass.