Basic Resources industry Industry

Monitor and predict the growth prospects and potential risks of the Basic Resources industry by examining the financial and macroeconomic factors affecting it and the latest Basic Resources news tracked by MacroVar. Sign Up Free to get notified instantly on the latest Basic Resources updates and get full access to MacroVar advanced analytics of Global Financial Markets, Economies and Financial Risk.

Click to explore the factors and the financial models used by MacroVar to analyze the Basic Resources industry trend, growth prospects and risks.

Basic Resources industry Industry Markets

Market Symbol Last Mom Trend Exh RSI 1D% 1W% 1M% 1Y%
US Basic Resources industry US.BASICRESOURCES 381.34 1 1 3.26943 67.2387 0.00382 0.01482 0.13508 0.44694
STOXX Asia Pacific 600 Basic Resources APAC.BASICRES 243.8 0.5 1 2.3032 64.9333 -0.01011 0.03248 0.10083 0.15556
Eastern Europe Basic Resources EEU.BASICRES 104.59 -1 -1 -4.59398 24.2678 -0.0146 -0.01041 -0.64904 -0.7605
US Basic Resources Credit Spreads US.BASICRESOURCES.CR 187.49 0 0.5 1.63501 39.2851 0.00112 -0.08786 -0.01087 0.33988
Europe Basic Resources Credit Spreads EU.BASICRESOURCES.CR 174.89 0 0.75 2.36776 46.9222 -0.01609 -0.07269 0.1534 0.61681

Basic Resources industry Industry News

Basic Resources industry Industry Analysis

MacroVar monitors the performance, risk, trend and momentum of the Basic Resources industry by examining the stock and credit performance of major Basic Resources companies across the US, Europe, Eastern Europe and Asia Pacific. Basic Resources Stock performance is monitored by analyzing STOXX equity indices of major Basic Resources companies while Basic Resources credit performance is monitored by analyzing Markit iBoxx credit indices reflecting the performance of the Basic Resources high yield corporate bond market.

MacroVar also monitors fundamental indicators closely linked to the Basic Resources sector published monthly including analysis of sector specific PMI indicators, components of Manufacturing & Services PMI and Economic Sentiment Indicators analysis.

MacroVar also monitors other factors closely related to the Basic Resources industry like closely related financial markets or macroeconmic indicators.

MacroVar estimates the following signals:: Basic Resources momentum, Basic Resources trend, Basic Resources oscillator, Basic Resources RSI and Basic Resources returns.

Basic Resources description

The Basic Resources sector includes the subsectors of Forestry & Paper, Industrial Metals & Mining and Mining.
The Forestry & Paper subsector includes owners and operators of timber tracts, forest tree nurseries and sawmills and producers, converters, merchants and distributors of all grades of paper.
The Industrial Metals & Mining subsector includes companies engaged in the mining or processing bauxite or manufacture and distribute aluminum bars, rods and other products for use by other industries, producers and traders of metals and primary metal products other than iron, aluminum and steel and manufacturers and stockholders of primary iron and steel products such as pipes, wires, sheets and bars, encompassing all processes from smelting in blast furnaces to rolling mills and foundries.
The Mining subsector includes companies enagged in the exploration for or mining of coal, diamonds & gemstones, general mining, gold mining and platinum and precious metals.

Basic Resources Momentum

Momentum is used to capture moves in shorter timeframes than trends. Momentum is the relative change occurring in markets. Relative change is different to a trend. A long-term trend can be up but the short-term momentum of a specific market can be 0. If a market moves down and then moves up and then moves back down the net relative change in price is 0. That means momentum is 0. A short-term positive momentum, with a long-term downtrend results in markets with no momentum.

MacroVar Basic Resources momentum signal ranges from -100 to +100. The Basic Resources momentum signal is derived as the mean value from 4 calculations for the Basic Resources . The timeframes monitored are the following: 1 Day (1 trading day), 1 Week (5 trading days), 1 Month (20 trading days), 3 Months (60 trading days)
For each timeframe, the following calculations are performed: 1. Basic Resources return is calculated for the specific timeframe and 2. if the return calculated is higher than 0, signal value output is 1 else signal value is -1. Basic Resources momentum signal is the aggregate of the the 4 values. A technical momentum rollover is identified when Basic Resources momentum signal moves from positive to negative value or vice-versa.

Basic Resources trend

Basic Resources trend signal ranges from -100 to +100. Basic Resources trend indicator is the mean value of the 8 calculations described below. The timeframes monitored are the following: 1-month (20 trading days), 3-months (60 trading days), 6-months (125 trading days), 1-year (250 trading days)
For each timeframe, the following calculations are performed: 1. Basic Resources Closing price vs Basic Resources moving average (MA) calculation: If Basic Resources is greater than Basic Resources MA value is +1, else -1, 2. Basic Resources Moving average slope calculation: if current Basic Resources moving average is higher than the previous MA, Basic Resources upward slope +1, else -1
Basic Resources trend model can be used as a trend strength indicator. Basic Resources trend strength values ranging between +75 and +100 or -75 and -100 show strong trend strength.
A technical trend rollover is identified when Basic Resources trend strength indicator moves from positive to negative value or vice-versa.

The most important trend indicator
The Basic Resources 52-week simple moving average and its slope are the most important indicators defining a market’s trend. Basic Resources is in an uptrend when Basic Resources price is higher than the 52-week moving average and the Basic Resources 52-week moving average has an upward slope. If fundamentals of the market have not changed and the moving average slope is still in uptrend, a price drop signifies a market correction and not a change of trend. Traders should watch oscillators like the Basic Resources oscillator and Basic Resources RSI to buy the dip and still follow the trend. The moving average slope turn signifies a change of trend.

Basic Resources oscillator

The Basic Resources oscillator estimated by MacroVar is the z-score of the currentBasic Resources price versus Basic Resources 1-year simple moving average price. The formula for the Basic Resources oscillator is:
Basic Resources oscillator = (Current Price – 250 trading days Basic Resources simple moving average price) / (250 days Basic Resources price standard deviation)

Basic Resources oversold conditions
Basic Resources is oversold when it is subject to a persistent downward pressure due to extreme fund outflows. When the Basic Resources is oversold it is often due for a rebound. Values of the Basic Resources oscillator lower than -2.5 signify oversold conditions. It must be noted that the Basic Resources oscillator must be analyzed ibn conjunction with the rest ofBasic Resources quantitative factors. Traders should pay less attention to overbought or oversold conditions during strong trends. They should pay close attention during counter trends and all combined with the Basic Resources RSI.
Basic Resources overbought conditions
Basic Resources is overbought when it is subject to a persistent upward pressure due to extreme fund inflows. When the Basic Resources is overbought it is often due for a correction. Values of the Basic Resources oscillator higher than +2.5 signify overbought conditions. It must be noted that the MacroVar oscillator must be compared to the rest of the Basic Resources quantitative factors. Traders should pay less attention to overbought or oversold conditions during strong trends. They should pay close attention during counter trends and all combined with the RSI.

Basic Resources RSI indicator

The RSI indicator measures the speed and change of price movements. The RSI indicator oscillates between 0 and 100. RSI is a useful indicator during normal trending market conditions when an asset price oscillates around its trend value. During big moves and strong trends however, like short squeezes or price spikes RSI and other oscillators don’t work.
During normal trend market conditions and when Basic Resources is in a downtrend RSI values between 50-60 signify overbought conditions before the downtrend is ready to resume. DuringBasic Resources uptrend, RSI values of 40 to 50 signify oversold conditions before the uptrend is ready to resume. It is strongly not recommended to enter a position when the RSI is “overbought” and falling or vice versa.

Basic Resources returns

MacroVar calculates Basic Resources returns for the following timeframes: Daily, Weekly, Monthly, Yearly. The formula for calculating returns is:

Basic Resources returns = (Basic Resources Closing Price – Basic Resources Previous Price)/(Basic Resources Previous Price)

Basic Resources industry Industry

Monitor and predict the growth prospects and potential risks of the Basic Resources industry by examining the financial and macroeconomic factors affecting it and the latest Basic Resources news tracked by MacroVar. Sign Up Free to get notified instantly on the latest Basic Resources updates and get full access to MacroVar advanced analytics of Global Financial Markets, Economies and Financial Risk.

Click to explore the factors and the financial models used by MacroVar to analyze the Basic Resources industry trend, growth prospects and risks.

Basic Resources industry Industry Markets

Market Symbol Last Mom Trend Exh RSI 1D% 1W% 1M% 1Y%
US Basic Resources industry US.BASICRESOURCES 381.34 1 1 3.26943 67.2387 0.00382 0.01482 0.13508 0.44694
STOXX Asia Pacific 600 Basic Resources APAC.BASICRES 243.8 0.5 1 2.3032 64.9333 -0.01011 0.03248 0.10083 0.15556
Eastern Europe Basic Resources EEU.BASICRES 104.59 -1 -1 -4.59398 24.2678 -0.0146 -0.01041 -0.64904 -0.7605
US Basic Resources Credit Spreads US.BASICRESOURCES.CR 187.49 0 0.5 1.63501 39.2851 0.00112 -0.08786 -0.01087 0.33988
Europe Basic Resources Credit Spreads EU.BASICRESOURCES.CR 174.89 0 0.75 2.36776 46.9222 -0.01609 -0.07269 0.1534 0.61681

Basic Resources industry Industry News

Basic Resources industry Industry Analysis

MacroVar monitors the performance, risk, trend and momentum of the Basic Resources industry by examining the stock and credit performance of major Basic Resources companies across the US, Europe, Eastern Europe and Asia Pacific. Basic Resources Stock performance is monitored by analyzing STOXX equity indices of major Basic Resources companies while Basic Resources credit performance is monitored by analyzing Markit iBoxx credit indices reflecting the performance of the Basic Resources high yield corporate bond market.

MacroVar also monitors fundamental indicators closely linked to the Basic Resources sector published monthly including analysis of sector specific PMI indicators, components of Manufacturing & Services PMI and Economic Sentiment Indicators analysis.

MacroVar also monitors other factors closely related to the Basic Resources industry like closely related financial markets or macroeconmic indicators.

MacroVar estimates the following signals:: Basic Resources momentum, Basic Resources trend, Basic Resources oscillator, Basic Resources RSI and Basic Resources returns.

Basic Resources description

The Basic Resources sector includes the subsectors of Forestry & Paper, Industrial Metals & Mining and Mining.
The Forestry & Paper subsector includes owners and operators of timber tracts, forest tree nurseries and sawmills and producers, converters, merchants and distributors of all grades of paper.
The Industrial Metals & Mining subsector includes companies engaged in the mining or processing bauxite or manufacture and distribute aluminum bars, rods and other products for use by other industries, producers and traders of metals and primary metal products other than iron, aluminum and steel and manufacturers and stockholders of primary iron and steel products such as pipes, wires, sheets and bars, encompassing all processes from smelting in blast furnaces to rolling mills and foundries.
The Mining subsector includes companies enagged in the exploration for or mining of coal, diamonds & gemstones, general mining, gold mining and platinum and precious metals.

Basic Resources Momentum

Momentum is used to capture moves in shorter timeframes than trends. Momentum is the relative change occurring in markets. Relative change is different to a trend. A long-term trend can be up but the short-term momentum of a specific market can be 0. If a market moves down and then moves up and then moves back down the net relative change in price is 0. That means momentum is 0. A short-term positive momentum, with a long-term downtrend results in markets with no momentum.

MacroVar Basic Resources momentum signal ranges from -100 to +100. The Basic Resources momentum signal is derived as the mean value from 4 calculations for the Basic Resources . The timeframes monitored are the following: 1 Day (1 trading day), 1 Week (5 trading days), 1 Month (20 trading days), 3 Months (60 trading days)
For each timeframe, the following calculations are performed: 1. Basic Resources return is calculated for the specific timeframe and 2. if the return calculated is higher than 0, signal value output is 1 else signal value is -1. Basic Resources momentum signal is the aggregate of the the 4 values. A technical momentum rollover is identified when Basic Resources momentum signal moves from positive to negative value or vice-versa.

Basic Resources trend

Basic Resources trend signal ranges from -100 to +100. Basic Resources trend indicator is the mean value of the 8 calculations described below. The timeframes monitored are the following: 1-month (20 trading days), 3-months (60 trading days), 6-months (125 trading days), 1-year (250 trading days)
For each timeframe, the following calculations are performed: 1. Basic Resources Closing price vs Basic Resources moving average (MA) calculation: If Basic Resources is greater than Basic Resources MA value is +1, else -1, 2. Basic Resources Moving average slope calculation: if current Basic Resources moving average is higher than the previous MA, Basic Resources upward slope +1, else -1
Basic Resources trend model can be used as a trend strength indicator. Basic Resources trend strength values ranging between +75 and +100 or -75 and -100 show strong trend strength.
A technical trend rollover is identified when Basic Resources trend strength indicator moves from positive to negative value or vice-versa.

The most important trend indicator
The Basic Resources 52-week simple moving average and its slope are the most important indicators defining a market’s trend. Basic Resources is in an uptrend when Basic Resources price is higher than the 52-week moving average and the Basic Resources 52-week moving average has an upward slope. If fundamentals of the market have not changed and the moving average slope is still in uptrend, a price drop signifies a market correction and not a change of trend. Traders should watch oscillators like the Basic Resources oscillator and Basic Resources RSI to buy the dip and still follow the trend. The moving average slope turn signifies a change of trend.

Basic Resources oscillator

The Basic Resources oscillator estimated by MacroVar is the z-score of the currentBasic Resources price versus Basic Resources 1-year simple moving average price. The formula for the Basic Resources oscillator is:
Basic Resources oscillator = (Current Price – 250 trading days Basic Resources simple moving average price) / (250 days Basic Resources price standard deviation)

Basic Resources oversold conditions
Basic Resources is oversold when it is subject to a persistent downward pressure due to extreme fund outflows. When the Basic Resources is oversold it is often due for a rebound. Values of the Basic Resources oscillator lower than -2.5 signify oversold conditions. It must be noted that the Basic Resources oscillator must be analyzed ibn conjunction with the rest ofBasic Resources quantitative factors. Traders should pay less attention to overbought or oversold conditions during strong trends. They should pay close attention during counter trends and all combined with the Basic Resources RSI.
Basic Resources overbought conditions
Basic Resources is overbought when it is subject to a persistent upward pressure due to extreme fund inflows. When the Basic Resources is overbought it is often due for a correction. Values of the Basic Resources oscillator higher than +2.5 signify overbought conditions. It must be noted that the MacroVar oscillator must be compared to the rest of the Basic Resources quantitative factors. Traders should pay less attention to overbought or oversold conditions during strong trends. They should pay close attention during counter trends and all combined with the RSI.

Basic Resources RSI indicator

The RSI indicator measures the speed and change of price movements. The RSI indicator oscillates between 0 and 100. RSI is a useful indicator during normal trending market conditions when an asset price oscillates around its trend value. During big moves and strong trends however, like short squeezes or price spikes RSI and other oscillators don’t work.
During normal trend market conditions and when Basic Resources is in a downtrend RSI values between 50-60 signify overbought conditions before the downtrend is ready to resume. DuringBasic Resources uptrend, RSI values of 40 to 50 signify oversold conditions before the uptrend is ready to resume. It is strongly not recommended to enter a position when the RSI is “overbought” and falling or vice versa.

Basic Resources returns

MacroVar calculates Basic Resources returns for the following timeframes: Daily, Weekly, Monthly, Yearly. The formula for calculating returns is:

Basic Resources returns = (Basic Resources Closing Price – Basic Resources Previous Price)/(Basic Resources Previous Price)

Basic Resources industry Industry

Monitor and predict the growth prospects and potential risks of the Basic Resources industry by examining the financial and macroeconomic factors affecting it and the latest Basic Resources news tracked by MacroVar. Sign Up Free to get notified instantly on the latest Basic Resources updates and get full access to MacroVar advanced analytics of Global Financial Markets, Economies and Financial Risk.

Click to explore the factors and the financial models used by MacroVar to analyze the Basic Resources industry trend, growth prospects and risks.

Basic Resources industry Industry Markets

Market Symbol Last Mom Trend Exh RSI 1D% 1W% 1M% 1Y%
US Basic Resources industry US.BASICRESOURCES 381.34 1 1 3.26943 67.2387 0.00382 0.01482 0.13508 0.44694
STOXX Asia Pacific 600 Basic Resources APAC.BASICRES 243.8 0.5 1 2.3032 64.9333 -0.01011 0.03248 0.10083 0.15556
Eastern Europe Basic Resources EEU.BASICRES 104.59 -1 -1 -4.59398 24.2678 -0.0146 -0.01041 -0.64904 -0.7605
US Basic Resources Credit Spreads US.BASICRESOURCES.CR 187.49 0 0.5 1.63501 39.2851 0.00112 -0.08786 -0.01087 0.33988
Europe Basic Resources Credit Spreads EU.BASICRESOURCES.CR 174.89 0 0.75 2.36776 46.9222 -0.01609 -0.07269 0.1534 0.61681

Basic Resources industry Industry News

Basic Resources industry Industry Analysis

MacroVar monitors the performance, risk, trend and momentum of the Basic Resources industry by examining the stock and credit performance of major Basic Resources companies across the US, Europe, Eastern Europe and Asia Pacific. Basic Resources Stock performance is monitored by analyzing STOXX equity indices of major Basic Resources companies while Basic Resources credit performance is monitored by analyzing Markit iBoxx credit indices reflecting the performance of the Basic Resources high yield corporate bond market.

MacroVar also monitors fundamental indicators closely linked to the Basic Resources sector published monthly including analysis of sector specific PMI indicators, components of Manufacturing & Services PMI and Economic Sentiment Indicators analysis.

MacroVar also monitors other factors closely related to the Basic Resources industry like closely related financial markets or macroeconmic indicators.

MacroVar estimates the following signals:: Basic Resources momentum, Basic Resources trend, Basic Resources oscillator, Basic Resources RSI and Basic Resources returns.

Basic Resources description

The Basic Resources sector includes the subsectors of Forestry & Paper, Industrial Metals & Mining and Mining.
The Forestry & Paper subsector includes owners and operators of timber tracts, forest tree nurseries and sawmills and producers, converters, merchants and distributors of all grades of paper.
The Industrial Metals & Mining subsector includes companies engaged in the mining or processing bauxite or manufacture and distribute aluminum bars, rods and other products for use by other industries, producers and traders of metals and primary metal products other than iron, aluminum and steel and manufacturers and stockholders of primary iron and steel products such as pipes, wires, sheets and bars, encompassing all processes from smelting in blast furnaces to rolling mills and foundries.
The Mining subsector includes companies enagged in the exploration for or mining of coal, diamonds & gemstones, general mining, gold mining and platinum and precious metals.

Basic Resources Momentum

Momentum is used to capture moves in shorter timeframes than trends. Momentum is the relative change occurring in markets. Relative change is different to a trend. A long-term trend can be up but the short-term momentum of a specific market can be 0. If a market moves down and then moves up and then moves back down the net relative change in price is 0. That means momentum is 0. A short-term positive momentum, with a long-term downtrend results in markets with no momentum.

MacroVar Basic Resources momentum signal ranges from -100 to +100. The Basic Resources momentum signal is derived as the mean value from 4 calculations for the Basic Resources . The timeframes monitored are the following: 1 Day (1 trading day), 1 Week (5 trading days), 1 Month (20 trading days), 3 Months (60 trading days)
For each timeframe, the following calculations are performed: 1. Basic Resources return is calculated for the specific timeframe and 2. if the return calculated is higher than 0, signal value output is 1 else signal value is -1. Basic Resources momentum signal is the aggregate of the the 4 values. A technical momentum rollover is identified when Basic Resources momentum signal moves from positive to negative value or vice-versa.

Basic Resources trend

Basic Resources trend signal ranges from -100 to +100. Basic Resources trend indicator is the mean value of the 8 calculations described below. The timeframes monitored are the following: 1-month (20 trading days), 3-months (60 trading days), 6-months (125 trading days), 1-year (250 trading days)
For each timeframe, the following calculations are performed: 1. Basic Resources Closing price vs Basic Resources moving average (MA) calculation: If Basic Resources is greater than Basic Resources MA value is +1, else -1, 2. Basic Resources Moving average slope calculation: if current Basic Resources moving average is higher than the previous MA, Basic Resources upward slope +1, else -1
Basic Resources trend model can be used as a trend strength indicator. Basic Resources trend strength values ranging between +75 and +100 or -75 and -100 show strong trend strength.
A technical trend rollover is identified when Basic Resources trend strength indicator moves from positive to negative value or vice-versa.

The most important trend indicator
The Basic Resources 52-week simple moving average and its slope are the most important indicators defining a market’s trend. Basic Resources is in an uptrend when Basic Resources price is higher than the 52-week moving average and the Basic Resources 52-week moving average has an upward slope. If fundamentals of the market have not changed and the moving average slope is still in uptrend, a price drop signifies a market correction and not a change of trend. Traders should watch oscillators like the Basic Resources oscillator and Basic Resources RSI to buy the dip and still follow the trend. The moving average slope turn signifies a change of trend.

Basic Resources oscillator

The Basic Resources oscillator estimated by MacroVar is the z-score of the currentBasic Resources price versus Basic Resources 1-year simple moving average price. The formula for the Basic Resources oscillator is:
Basic Resources oscillator = (Current Price – 250 trading days Basic Resources simple moving average price) / (250 days Basic Resources price standard deviation)

Basic Resources oversold conditions
Basic Resources is oversold when it is subject to a persistent downward pressure due to extreme fund outflows. When the Basic Resources is oversold it is often due for a rebound. Values of the Basic Resources oscillator lower than -2.5 signify oversold conditions. It must be noted that the Basic Resources oscillator must be analyzed ibn conjunction with the rest ofBasic Resources quantitative factors. Traders should pay less attention to overbought or oversold conditions during strong trends. They should pay close attention during counter trends and all combined with the Basic Resources RSI.
Basic Resources overbought conditions
Basic Resources is overbought when it is subject to a persistent upward pressure due to extreme fund inflows. When the Basic Resources is overbought it is often due for a correction. Values of the Basic Resources oscillator higher than +2.5 signify overbought conditions. It must be noted that the MacroVar oscillator must be compared to the rest of the Basic Resources quantitative factors. Traders should pay less attention to overbought or oversold conditions during strong trends. They should pay close attention during counter trends and all combined with the RSI.

Basic Resources RSI indicator

The RSI indicator measures the speed and change of price movements. The RSI indicator oscillates between 0 and 100. RSI is a useful indicator during normal trending market conditions when an asset price oscillates around its trend value. During big moves and strong trends however, like short squeezes or price spikes RSI and other oscillators don’t work.
During normal trend market conditions and when Basic Resources is in a downtrend RSI values between 50-60 signify overbought conditions before the downtrend is ready to resume. DuringBasic Resources uptrend, RSI values of 40 to 50 signify oversold conditions before the uptrend is ready to resume. It is strongly not recommended to enter a position when the RSI is “overbought” and falling or vice versa.

Basic Resources returns

MacroVar calculates Basic Resources returns for the following timeframes: Daily, Weekly, Monthly, Yearly. The formula for calculating returns is:

Basic Resources returns = (Basic Resources Closing Price – Basic Resources Previous Price)/(Basic Resources Previous Price)

Basic Resources industry Industry

Monitor and predict the growth prospects and potential risks of the Basic Resources industry by examining the financial and macroeconomic factors affecting it and the latest Basic Resources news tracked by MacroVar. Sign Up Free to get notified instantly on the latest Basic Resources updates and get full access to MacroVar advanced analytics of Global Financial Markets, Economies and Financial Risk.

Click to explore the factors and the financial models used by MacroVar to analyze the Basic Resources industry trend, growth prospects and risks.

Basic Resources industry Industry Markets

Market Symbol Last Mom Trend Exh RSI 1D% 1W% 1M% 1Y%
US Basic Resources industry US.BASICRESOURCES 381.34 1 1 3.26943 67.2387 0.00382 0.01482 0.13508 0.44694
STOXX Asia Pacific 600 Basic Resources APAC.BASICRES 243.8 0.5 1 2.3032 64.9333 -0.01011 0.03248 0.10083 0.15556
Eastern Europe Basic Resources EEU.BASICRES 104.59 -1 -1 -4.59398 24.2678 -0.0146 -0.01041 -0.64904 -0.7605
US Basic Resources Credit Spreads US.BASICRESOURCES.CR 187.49 0 0.5 1.63501 39.2851 0.00112 -0.08786 -0.01087 0.33988
Europe Basic Resources Credit Spreads EU.BASICRESOURCES.CR 174.89 0 0.75 2.36776 46.9222 -0.01609 -0.07269 0.1534 0.61681

Basic Resources industry Industry News

Basic Resources industry Industry Analysis

MacroVar monitors the performance, risk, trend and momentum of the Basic Resources industry by examining the stock and credit performance of major Basic Resources companies across the US, Europe, Eastern Europe and Asia Pacific. Basic Resources Stock performance is monitored by analyzing STOXX equity indices of major Basic Resources companies while Basic Resources credit performance is monitored by analyzing Markit iBoxx credit indices reflecting the performance of the Basic Resources high yield corporate bond market.

MacroVar also monitors fundamental indicators closely linked to the Basic Resources sector published monthly including analysis of sector specific PMI indicators, components of Manufacturing & Services PMI and Economic Sentiment Indicators analysis.

MacroVar also monitors other factors closely related to the Basic Resources industry like closely related financial markets or macroeconmic indicators.

MacroVar estimates the following signals:: Basic Resources momentum, Basic Resources trend, Basic Resources oscillator, Basic Resources RSI and Basic Resources returns.

Basic Resources description

The Basic Resources sector includes the subsectors of Forestry & Paper, Industrial Metals & Mining and Mining.
The Forestry & Paper subsector includes owners and operators of timber tracts, forest tree nurseries and sawmills and producers, converters, merchants and distributors of all grades of paper.
The Industrial Metals & Mining subsector includes companies engaged in the mining or processing bauxite or manufacture and distribute aluminum bars, rods and other products for use by other industries, producers and traders of metals and primary metal products other than iron, aluminum and steel and manufacturers and stockholders of primary iron and steel products such as pipes, wires, sheets and bars, encompassing all processes from smelting in blast furnaces to rolling mills and foundries.
The Mining subsector includes companies enagged in the exploration for or mining of coal, diamonds & gemstones, general mining, gold mining and platinum and precious metals.

Basic Resources Momentum

Momentum is used to capture moves in shorter timeframes than trends. Momentum is the relative change occurring in markets. Relative change is different to a trend. A long-term trend can be up but the short-term momentum of a specific market can be 0. If a market moves down and then moves up and then moves back down the net relative change in price is 0. That means momentum is 0. A short-term positive momentum, with a long-term downtrend results in markets with no momentum.

MacroVar Basic Resources momentum signal ranges from -100 to +100. The Basic Resources momentum signal is derived as the mean value from 4 calculations for the Basic Resources . The timeframes monitored are the following: 1 Day (1 trading day), 1 Week (5 trading days), 1 Month (20 trading days), 3 Months (60 trading days)
For each timeframe, the following calculations are performed: 1. Basic Resources return is calculated for the specific timeframe and 2. if the return calculated is higher than 0, signal value output is 1 else signal value is -1. Basic Resources momentum signal is the aggregate of the the 4 values. A technical momentum rollover is identified when Basic Resources momentum signal moves from positive to negative value or vice-versa.

Basic Resources trend

Basic Resources trend signal ranges from -100 to +100. Basic Resources trend indicator is the mean value of the 8 calculations described below. The timeframes monitored are the following: 1-month (20 trading days), 3-months (60 trading days), 6-months (125 trading days), 1-year (250 trading days)
For each timeframe, the following calculations are performed: 1. Basic Resources Closing price vs Basic Resources moving average (MA) calculation: If Basic Resources is greater than Basic Resources MA value is +1, else -1, 2. Basic Resources Moving average slope calculation: if current Basic Resources moving average is higher than the previous MA, Basic Resources upward slope +1, else -1
Basic Resources trend model can be used as a trend strength indicator. Basic Resources trend strength values ranging between +75 and +100 or -75 and -100 show strong trend strength.
A technical trend rollover is identified when Basic Resources trend strength indicator moves from positive to negative value or vice-versa.

The most important trend indicator
The Basic Resources 52-week simple moving average and its slope are the most important indicators defining a market’s trend. Basic Resources is in an uptrend when Basic Resources price is higher than the 52-week moving average and the Basic Resources 52-week moving average has an upward slope. If fundamentals of the market have not changed and the moving average slope is still in uptrend, a price drop signifies a market correction and not a change of trend. Traders should watch oscillators like the Basic Resources oscillator and Basic Resources RSI to buy the dip and still follow the trend. The moving average slope turn signifies a change of trend.

Basic Resources oscillator

The Basic Resources oscillator estimated by MacroVar is the z-score of the currentBasic Resources price versus Basic Resources 1-year simple moving average price. The formula for the Basic Resources oscillator is:
Basic Resources oscillator = (Current Price – 250 trading days Basic Resources simple moving average price) / (250 days Basic Resources price standard deviation)

Basic Resources oversold conditions
Basic Resources is oversold when it is subject to a persistent downward pressure due to extreme fund outflows. When the Basic Resources is oversold it is often due for a rebound. Values of the Basic Resources oscillator lower than -2.5 signify oversold conditions. It must be noted that the Basic Resources oscillator must be analyzed ibn conjunction with the rest ofBasic Resources quantitative factors. Traders should pay less attention to overbought or oversold conditions during strong trends. They should pay close attention during counter trends and all combined with the Basic Resources RSI.
Basic Resources overbought conditions
Basic Resources is overbought when it is subject to a persistent upward pressure due to extreme fund inflows. When the Basic Resources is overbought it is often due for a correction. Values of the Basic Resources oscillator higher than +2.5 signify overbought conditions. It must be noted that the MacroVar oscillator must be compared to the rest of the Basic Resources quantitative factors. Traders should pay less attention to overbought or oversold conditions during strong trends. They should pay close attention during counter trends and all combined with the RSI.

Basic Resources RSI indicator

The RSI indicator measures the speed and change of price movements. The RSI indicator oscillates between 0 and 100. RSI is a useful indicator during normal trending market conditions when an asset price oscillates around its trend value. During big moves and strong trends however, like short squeezes or price spikes RSI and other oscillators don’t work.
During normal trend market conditions and when Basic Resources is in a downtrend RSI values between 50-60 signify overbought conditions before the downtrend is ready to resume. DuringBasic Resources uptrend, RSI values of 40 to 50 signify oversold conditions before the uptrend is ready to resume. It is strongly not recommended to enter a position when the RSI is “overbought” and falling or vice versa.

Basic Resources returns

MacroVar calculates Basic Resources returns for the following timeframes: Daily, Weekly, Monthly, Yearly. The formula for calculating returns is:

Basic Resources returns = (Basic Resources Closing Price – Basic Resources Previous Price)/(Basic Resources Previous Price)