At the bottom is the current matrix of signals for the indexes and stocks we track. (We'll eventually have a dedicated page and better formatting). Again this week we have a bunch of potential sell signals. None of these signals are highly reliable but rather indicate that either we are either entering a reversal period (more likely) or a continuation period where prices take a pause and resume their upward track.
GLD and SLV continue their strong performance and continue to show a bullish bias. However we are entering a zone of caution for a number of reasons:
1 - Elliot wave shows a price top area of Gold for 967 and Silver in the 15-15.50 range before a reversal is expected.
2 - Market has been in an uptrend and is due for a reversal. The magnitude is still under investigation but several sources we monitor either call for a minor reversal, continuation of a summer rally before a major reversal.
3 - Precious metals are entering a seasonal weak period.
4 - Oil has rallied substantially and due for pullback.
5 - Dollar oversold. Bearish sentiment of the dollar is also very high with stories of dollar replacement showing up again. May signal an intermediate low for the dollar (which may play into the gold selloff potential)
It is also interesting to note DBA (grains ETF) has flashed a buy warning.
FAZ is our purely speculative play and has flashed another buy alert. We'll be monitoring it closely for a reversal.
SH (the S&P) short fund has also signaled a potential buy.
Overall we recommend holding on to positions as shown, but be prepared to exit if we see a confirmation.
PREVIOUS ENTYR CURRENT CHNG
| ADRE |
BLDRS EMERGING MKTS 50 IND.. |
BUY |
3/27/2009 |
28.05 |
SELL-IF |
|
32.56 |
34.36 |
5.53% |
22.50% |
| DBA |
POWERSHARES DB AGRICULTURE.. |
SELL |
4/9/2009 |
24.92 |
BUY-IF |
|
26.15 |
27.65 |
5.74% |
10.96% |
| DBB |
POWERSHARES DB BASE METALS.. |
BUY |
5/8/2009 |
14.6 |
SELL-IF |
|
14.1 |
14.41 |
2.20% |
-1.30% |
| DBE |
POWERSHARES DB ENERGY FUND |
BUY |
5/8/2009 |
20.17 |
SELL-IF |
|
21.02 |
22.08 |
5.04% |
9.47% |
| FAZ |
FINANCIAL BEAR 3X SHARES |
SELL |
3/13/2009 |
104.07 |
BUY-IF |
|
5.9 |
5.56 |
-5.76% |
-94.66% |
| GDX |
MARKET VECTORS GOLD MINERS.. |
BUY |
5/8/2009 |
33.65 |
HOLD |
|
37.65 |
42.06 |
11.71% |
24.99% |
| GLD |
STREETTRACKS GOLD TR |
BUY |
4/24/2009 |
86.03 |
HOLD |
|
91.55 |
94.1 |
2.79% |
9.38% |
| HL |
HECLA MINING CO |
BUY |
3/20/2009 |
1.5 |
SELL-IF |
|
2.98 |
3.36 |
12.75% |
124.00% |
| IYM |
ISHARES DJ US BASIC MATERI.. |
BUY |
3/20/2009 |
32.49 |
HOLD |
|
42 |
43.87 |
4.45% |
35.03% |
| MOO |
MARKET VECTORS AGRIBUSINES.. |
BUY |
3/20/2009 |
27.58 |
HOLD |
|
34.53 |
36.79 |
6.55% |
33.39% |
| PHO |
POWERSHARES WATER RESOURCE |
BUY |
3/27/2009 |
12.06 |
SELL-IF |
|
13.56 |
13.73 |
1.25% |
13.85% |
| SH |
PROSHARES TRUST SHORT S&P .. |
SELL |
3/20/2009 |
81.81 |
BUY-IF |
|
69 |
68.55 |
-0.65% |
-16.21% |
| SLV |
ISHARES SILVER TRUST |
BUY |
4/24/2009 |
11.9 |
HOLD |
|
13.77 |
14.5 |
5.30% |
21.85% |
| SLW |
SILVER WHEATON CP |
BUY |
5/8/2009 |
7.85 |
SELL-IF |
|
8.58 |
9.34 |
8.86% |
18.98% |
| USO |
US OIL FUND ETF |
BUY |
2/27/2009 |
24.91 |
SELL-IF |
|
31.3 |
33.7 |
7.67% |
35.29% |
| XLE |
SECTOR SPDR TRUST ENERGY |
BUY |
3/20/2009 |
41.5 |
SELL-IF |
|
48 |
48.61 |
1.27% |
17.13% |
