26th July: Strong action in the US and
Europe last week was of little technical significance. If we see further
bullish movement this week, there will be cause for optimism. But last
week's bullishness could just as easily evanesce.
More encouragement from Asia. We saw new highs
in several Asian markets last week. Indonesia has broken out from its previous
high. Other markets, such as Malaysia and Singapore are still testing new
highs. Other markets, such as Korea, have marginally broken into new high
territory. But there are strong resistances to overcome. In all, Asia looks
encouraging. The region still offers hope that the global bull will continue
and the developed world will soon follow. However, there are technical
hurdles for both Europe and the US. Let's be patient and see those hurdles
pass before we can say the world is out of the bearish woods.
