Here is a chart of the VIX which appears to be telling us that Volatility is a buy which generally means stocks are a sell. However, it does appear to me we need a day or possibly two more for this to setup correctly. The stock market is extremely oversold as well which means a bounce is required for short entries. As a result I will wait at least until the end of the day tomorrow to look for longs here in the VIX and shorts in stocks. If we go down again, then I will miss it.
The same picture is brewing for GOLD. We have broken the daily uptrend and now are in a sell the bounce mode as long as the bounce does not go too far.
You can see the downtrends in the trend oscillators here with now a small reaction against them beginning. If I am right in my view on stocks, this market is also likely to drop substantially due to the big deflation wave that is about to hit. For now it is still in the weekly uptrend, so if it were to hold here the bigger picture trend remains intact. A nice little inflection point we have here.
The last market to talk about here is Sugar. This market is setup on a short term basis for a short entry. I am not posting a chart due to what a pain it is with this editor. I have to upload them, then switch to HTML mode and cut and paste the image code to the location in the blog I want which is why the spacing gets messed up. Too much brain damage for me today. Blogger with the old editor puts all the images in front of everything else at the top forcing you to have to relocate all of them. I suggest anyone looking at Sugar to look for sell entries tomorrow.
In what I will call a weekly dumbass award, I nominate the poor mans Barack Obama, Michael Steele. Is it a requisite that you be a numbnut to be the head of a political party? Not sure who I would want on my spelling bee team between he and Barry?
Good trading to everyone this week