Markets are headed to a November low retest see S&P 500 chart on my public list.
Gold and silver did well today but I see red flags all over the place. Silver is hitting some serious resistance here. GG – Goldcorp is still not displaying the kind of volume you would like to see. ABX – Barrick Gold is down, FNV.V – Franco Nevada has put in a long tail, RGLD – Royal Gold did well today but is still trading within the flag pattern. I am still expecting the HUI to pull back at some point in time.
Oil related stuff got sold off hard today. The gap down today in the grand scheme of things is not a break away gap as the down trend has been firmly in place for quite some time. I wouldn’t classify it as a continuation gap either. Odds are high it is an exhaustion gap. Watching for confirmation within the next few days. A ‘hammer’ on huge volume e.g. would signal the beginning of a trend reversal. No need to rush. Simply watching for now.
Have a great evening.