So not too much happened on the ice fishing trip - not nearly as much as we would have liked, anyway.
It seems the markets were up to about the same while we were gone, and may be up to the same for a while yet.
As is often the case in bear markets, prices plummet rapidly, as short-term panic sets in with a side of negativity. Then, a sharp rebound, or - what we are watching right now; a period of lesser conviction and sideways meandering as the collective of market participants build up courage for their next big buy and succumb to the call of the market.
This is about the time where a small upward thrust in the markets occurs before a resumption of the bear mood.
We are most likely in the middle of that sideways consolidation. The short term EMA's on the major indexes have been allowed the opportunity to close in and tighten up, so we are definitely in the latter half of a consolidation period that should see a large break in prices - most likely first to the upside and then to the downside even harder.
We should probably see the S&P 500 move toward the right side of the downtrend channel, possibly break through for a short duration in a rush of euphoric buying, and then finally resume the downtrend.
The precious metals should continue to mirror the stock market (despite the repeated calls that they are NOT a speculative investment) - if the markets make a pop, so should PMs, and when the markets turn, the PMs should turn with them.
The primary trend is still down, and therefore we are simply looking for points of exhaustion and ideal trade entries. I know that you, dear readers, are probably tired of hearing about this trend (although it is only 2 months old in PM terms and 3 weeks old in stocks). Despite that, this is the trend to focus on now, because all other assets are going to be affected by it across the board.
We will continue to sniff out areas of extreme sentiment using a laundry-list of methods, and are feverishly in the process of developing our website to offer you the best services possible.
Enjoy the day, dear readers. We'll be back soon.