Deflation ahead

The outperformance of government bonds versus gold could signal a new wave of deflation ahead, according to Riccardo Ronco, Head of Technical Analysis at Aviate Global in an interview for CNBC.

Also in the interview. Ronco explains why the Dow could be forming a major top before heading towards 14,000 or lower and how investors seem to be moving towards less risky equity sectors (staples, healthcare, utilities, telecoms) like they did prior to the crash in 2000 and 2007.

Watch video.