Friday, May 29, 2009

Inflation off to the Races?

From Stagflation in 2007 to the mid-point of 2008, a brief period of deflation, now it looks like inflation has returned. Falling Bond Prices on Rising Oil Prices are on course for what could be a big run.

As a sidenote, the dollar index looks ready to retest 2008 lows which is bullish for gold (and inflation model). Gold prices look to have formed a cup-and-handle pattern.

Dr. Declan Fallon, Senior Market Technician, the free stock alerts, stock charts, watchlist, multi-currency portfolio manager and strategy builder website. Forex data available too.