iM Update* – August 6, 2021

Bond-market:

The BVR-model avoids high beta bonds (long-bonds) and also intermediate duration bonds.

The Bond Value Ratio is shown in Fig 4 and is near last week’s value.  According to the model, only when BVR turns upward after having been lower than the lower offset-line should one consider long bonds again.

The Yield Curve:

The yield curve model indicates the trend of the 10-year and 2-year Treasuries yield spread. Figure 5 charts (i10 – i2), the yield curve is below last week’s level and a flattening trend has set in. This model confirms the direction of the BVR. (This model previously showed buy and sell signals for STPP and FLAT, two ETN’s that profited from a steepening or flattening yield curve, respectively, but these  have now matured and are no longer available.  The model is continued so that the trend of the yield curve can be monitored)

 

Gold:

The modified Coppock Gold indicator shown in Fig 6 and is invested in gold.

This indicator is described in Is it Time to Buy Gold Again? – Wait for the buy signal ……. 

 

 

The iM GOLD-TIMER Rev-1   This model generated a new a sell signal begining August 2021 and is in cash.

 

 

 

Silver:

The modified Coppock Silver indicator shown in Fig 7. A week after exiting silver,  iM-coppock model generated a buy signal begin August 2020 and is again invested in silver.

This indicator is described in Silver – Better Than Gold: A Modified Coppock Indicator for Silver.