In our last update on NKD, we noted the arrival at an important junction of the 50 and 100-day moving averages.  We noted at that time that a drop through those levels would be quite bearish for both NKD and SPX.  NKD did drop through, managed a feeble recovery for two weeks, then really plunged.

This was somewhat surprising, given that the NKD is one of the most heavily manipulated of the major “markets.”  What wasn’t surprising is where it finally found support on Jan 21.  Fun fact?  After a 13.4% bounce that climaxed in a disappointing BoJ QQE experiment, NKD is right back to that bounce spot.  It’s a very important spot.

continued for members…

One simple chart illustrates the importance of holding 15,820.  Abe, Kuroda et al have a lot riding on this trend line.  They should step in and aggressively buy, today.