06 Oct ’22, 09:21 Central Euro Time:

The Swiss Franc, Gold and Copper are at present all above today’s respective Neutral Zones; none of the other BEGOS Markets are below same, and volatility is light. Following a firm start to the week, the S&P500 staved off much of what looked to be a material return to selling yesterday. For the fib follower, a Golden Ratio (61.8%) retracement would be completed at 3915 (Spoo 3928) such by that construct there’d still be another +100 points in the offing for the S&P, the textbook technical for which is now just mildly oversold. Obviously by fundamentals, the Index remains extremely high, the “live” P/E now 34.0x and yield 1.730% versus the U.S. Five-Year Note yield of 3.959%. Thus our sense is the S&P 3600-3200 support zone has further testing to go. By Market Values, the Spoo has recovered much of its recent “undervaluation”, now (in real-time) just 92 points below its smooth valuation line.