Equity version of a ‘credit spread’ indicates risk still ‘ON’

That is not to say you should buy Europe right now, as the previous post made clear. But in looking at some charts I found Euro unhedged Spain to be in a bullish pattern vs. Euro unhedged Germany. So comparing apples to apples (not that I would buy anything Euro unhedged any time soon) it appears that risk is still ‘ON’ over there. Look… that’s a cute little pattern targeting the SMA 200 or so.

To de-complicate things, let’s also check out IBEX vs. DAX…

After a correction Europe will be interesting again.