The Chart du Jour

Shift Focus to Yen?

February 23, 2001

By, Barclay T. Leib

Chart constructed using Advanced GET End-of-Day

We advised Thursday (whether potentially early or not) to book some profits in short equity index futures. Various individual stocks could certainly slide some more, and we remain bearish the financial sector. But to linger in shorts at this juncture seems piggish to us. By now, almost everyone has heard the old adage that "bulls and bears on Wall Street can both make money, but pigs get slaughtered" -- and that thought seems to hold some validity in this circumstance.

That said, where might one shift focus? Although we remain a bit friendly to the euro within the foreign exchange world, we think the corrective retracement period in USD/JPY may be coming to an end. One solid close above the 100-day moving average and Fibonacci resistance near 118, and the recent yen chop should come to an end. We'd guess the current range between 114 and 118 could end up as a "flag" pattern marking just half of an eventual move from 107 up to an extrapolated high at 127.36.

Does this view make any fundamental sense into Japan's fiscal year-end in March? Likely not, since yen repatriation and strength has typically been the norm for this period. But since when have the markets been so sensible for macro-thinkers looking at potential capital flows to guess it right? We'll stick with the technicals here and get ready to jump back aboard the U.S. dollar against the yen on a bit more dollar strength.

For immediate web-based access to our latest subscriber-only January 21th analysis, please support Sand Spring Advisors and purchase a quarterly subscription below. Our latest work will be accessible on the final page of the order process. A user-id and password for web access to all past and future articles will follow by e-mail.

How Your Articles Are Delivered
Upon the processing of your credit card or the receipt of a personal check, Sand Spring will e-mail you the articles requested as a Word attachment, and also provide you with a WWW address and password to view the article on the web without using Word should you so desire. Confirmation of your order will be immediate, and the actual article will follow by e-mail typically within a few hours and in all cases before the opening of NYSE trading on the following day.

Ordering by Credit Card:
Our shopping cart is designed for both physical and subscription products, so do not be confused too much when it asks you for a shipping address. A correct address is important only for credit card authorization purposes. Your e-mail information is the most important piece of information to us for proper delivery of your article(s).

Disclosure Statement

Sand Spring Advisors provides information and analysis from sources and using methods it believes reliable, but cannot accept responsibility for any trading losses that may be incurred as a result of our analysis. Individuals should consult with their broker and personal financial advisors before engaging in any trading activities, and should always trade at a position size level well within their financial condition. Principals of Sand Spring Advisors may carry positions in securities or futures discussed, but as a matter of policy will always so disclose this if it is the case, and will specifically not trade in any described security or futures for a period 5 business days prior to or subsequent to a commentary being released on a given security or futures.

If you order by credit card, your credit card will be billed as "Sand Spring Advisors LLC"

Should you have any ordering problems, please contact us at
973-829-1962 or by email at the address below:

Take me back to the Sand Spring Home Page

Comments or Problems

Thank you for visiting Sand Spring Advisors LLC, Inc. We hope to hear from you again soon. For more information on Sand Spring Advisors actual programs, services, or to request a copy of a Disclosure Document, please phone us at 973 829 1962, FAX your request to 973 829 1962, or e-mail us at

Corporate Office:
10 Jenks Road,
Morristown, NJ 07960
Phone: 973 829 1962
Facsimile: 973 829 1962

Best Experienced with
Microsoft Internet Explorer
Click here to start.

The material located on this website is also the copyrighted work of Sand Spring Advisors LLC. No party may copy, distribute or prepare derivative works based on this material in any manner without the expressed permission of Sand Spring Advisors LLC

This page and all contents are Copyright 2000 by Sand Spring Advisors, LLC, Morristown, NJ