best way i can describe it is that there are a lot of mathematical forces that were coming from a long way apart than are now gridlocked toegther - they are grinding grinding grinding up down as their different drivers push them against each other
eg USDJPY and USD gold. When USDJPY had a 20% head fall to make it was easy for usd gold to rise.
But now USDJPY is back at the neckline - and the data driving buying and selling of yen vs usd vs gold means its not not a clear argument where capital should flow.
but once that impasse breaks the makret will typically 'puke' - ie the resistance will give way and there will be big swing(s) in key differentials.
the hardest one to pick is usd gold - because it looks pretty obvious to me the broad equity markets are going to correct m- but when they do does that drive a big surge in USD and fall in USD gold - or the reverse?
when one finally gives way to the other - you can be sure the moves will be fairly significant - because we'll be moving into the start of a new trend of valuations etc
