Swami Weekly Wrap: June 2, 2025
Hi Swami Subs,
TLT (iShares 20+ Year Treasury Bond ETF) bounced ever so slightly last week off of a intermediate-term fractal oversold signal. We are monitoring these levels carefully, as higher rates are likely to be a headwind for higher equity prices. Fixed Income broadly still signaling "dead money" from a Swami Score standpoint, but US10Y back below 4.5% and US30Y back below 5% are both positive developments for fixed income holders. VIX back into the teens (back below 20) is another key "line-in-the-sand" for bulls to respect. We think FACTOR EXPOSURES will matter more from here, within the 11 SECTOR SPDR ETFs, only XLV (Healthcare) and XLE (Energy) are currently in BEARISH Trends, everything else is signaling BULLISH in our model.
CRYPTO: Excellent entry setup for crypto (ie, BITO/GBTC) this week
EQUITIES: There may be one more week of flat to down price action, but bullish setups are building in fresh 1-month and 3-month uptrends
COMMODITIES: No major changes, gold consolidating
CURRENCIES: Dollar still down
BONDS: Bouncing within a downtrend, no change to long term view
Cheers,
Swami Research
info@swamiresearch.com