Spread Charts

• The upper chart shows the actual and modelled prices and the forecast 5 day support, mid and resistance lines.
• The lower chart show the actual minus modelled price difference (coloured or grey bars) and the 20 day standard deviation grey lines (-2,-1,1,2).
• When the price difference is over or under two standard deviations there is an increasing probability that the actual price will retrace towards the modelled value.
• The momentum is not shown in the case of the spreads as it is more useful in markets that show a persistent trend over a longer time period.
• The spread charts for Copper, Aluminium, Nickel, Zinc, Lead and Tin are on page 3, 5, 7, 9, 11, 13  of the Daily Report.