FT Alphaville Tears Into David Rosenberg


You know a rally’s been immense when key bears are getting gored in the face.

FTAlphaville: Much as we love him, we must report that Gluskin Sheff’s David Rosenberg has finally lost it. Here’s the evidence – from his latest “Breakfast with Dave” note to clients on Thursday:

So far, the backup for the U.S. 10-year Treasury note yield is a 38% Fibonacci retracement of the decline from the nearby high established in August.

Fibonacci analysis!?!? That, surely, is the domain of wacko tip sheets and self-help investment seminars.

Dave, of course, has been leading us all in fighting the tape these past few months. A selfless act – and also a bit foolhardy, in hindsight. Look at the sad result:

This still seems to be a purely technically driven market, though excitement continues to build over a company’s ability to surpass low-balled expectations on earnings and revenues. This next up-leg may be the last gasp, but the strength could carry it to the 1,098 gap or the 1,121 50% Fibonacci retracement (that’s 3% more).

Read more here.

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at research.businessinsider.com.au.