COTTON leads the S&P500 (SPY)

I find this interesting - intermarket analysis.

I try to look at as many indicators as I can handle and then come to an overall assessment of the market's position.

Cotton has its complexities, but sometimes a relationship just jumps out at you.

For me, I see how Cotton is a leading indicator for the stock market. Note how it declined prior to the current stock market decline. Also, note that Cotton is stable today in the weak stock market environment.

Just another chart for you to view and consider.

Cheers.

Tim 12:56PM EST Friday, June 1, 2012