One of those things that make you go "Hmmm" could be my quick post of last night where I wrote that : We may see some pull back starting tomorrow afternoon
The other "Hmmm" factors could be:
- Short trade in silver is doing well if you have taken it. If not, don't worry, may other opportunities are coming up.
- Now that you are seeing the price action of Crude, may be you will appreciate why I closed the short crude trade last week.
- Wheat is still in range of $ 800- $820 and is a candidate for a long trade with this consolidation.
So may be you can say "Hmmm", the system is working and is in fact getting better.
Jokes aside, I do hope that the correction continues for a while more. I would love to see a lower low in indices and that would make me more comfortable going forward.
The reason that we have for the 11 points correction in SPX is the same that was given on the way up. i.e. fear of the cliff. But if I am allowed to put in my 2 cents, I would say, cycles did not bottom yet although they are close to. The 1st ideal target would be around 1415-1420 in SPX and a close below that should take it closer to 1400. But again, time is running out. Therefore, at this point of time, I do not have any price target, only time target. Don't bother about the end of the world stories.
You may want to watch this clip from Bloomberg
I think the circus will continue for a while.
Gold is now around $ 1670 and here my price target is around $ 1650, not a huge drop but enough to shake weak hands out. For 2013, it is going to be a huge winner.
Gold is now around $ 1670 and here my price target is around $ 1650, not a huge drop but enough to shake weak hands out. For 2013, it is going to be a huge winner.
Let us see how far the correction goes and whether it goes any further at all. Again, no need to front run or take any positions. Time for actions is coming soon and we remain alert and keep the powder dry.
Thanks for sharing my thoughts. Hope you remember the Amazon link if you need it for your holiday shopping.
