BDI Baltic Dry Index Weekly Chart Sideways Channel and Triangle

With the reported gangbuster economic and trade numbers from China you would think the shipping industry would be unable to keep up, the tankers and dry bulk carriers should be going all out due to all this reported demand. How come the BDI remains in the cellar? The shippers are setting up for potential long trades but they may still stumble sideways for a bit, companies like DRYS, EGLE, GNK, FRO, etc..., NAT reports earnings today but they are more involved in oil rather than dry bulk such as coal, coke, grains, raw materials, etc....

If the global economy is on a long-term upswing, the shippers should be leading the way, the BDI should be far higher. Instead, the shippers are in a sick sideways malaise. The 200-week MA is sloping negatively which is a very bearish indication moving forward. The BDI is not producing positive divergence as it bounces along a bottom. Instead, price is stumbling through a sideways channel and the indicators simply verify the sideways action.  The moving averages are sideways as well reinforcing this sick sideways move. The sideways triangle will start to squeeze in price so it has to make a commitment as winter ends and we move into springtime.

There are many mixed signals these days in very erratic unstable markets. If the ocean shippers are docked and the Captain's are reading magazines with their feet up on the bridge's control panel, that does not reinforce a strong economic picture moving forward. This information is for educational and entertainment purposes only.  Do not invest based on anything you read or view here.  Consult your financial advisor before making any investment decision.