Breakout in Precious Metals, Pay Attention to High Quality Explorers

If you're new here, you may want to subscribe to my RSS feed. Thanks for visiting!The global debt crisis and the war on deflation by the Federal Reserve is causing precious metals to approach a key resistance level.  Gold is nearing a 52 week high while silver is close to breaking $19.  A break above…
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Silver Ascending Triangle Breakout. Major Move Expected

Silver had very powerful break out today as investors are seeking assets that are safe and will retain value during a debt crisis.  Silver is  seeing demand at these price levels as it is historically cheap relative to gold.  If the ratio came down to the levels it was in 2006 it would be close…
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Head and Shoulders Pattern and Rising Wedge on S&P500

The rise in equities from March 2009 to April 2010 lacked one key ingredient in a bull market: volume confirmation.  There were many technicians who pontificated why the lack of enthusiasm of the uptrend existed.  Some said that it was the 2008 de-leveraging of hedge funds that caused the decreased participation.  I was never convinced…
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Market Fails as Fronteer (FRG) Jumps On Long Canyon Discovery

The S&P 500 broke out of a bearish rising wedge pattern last week after failing to hold the 200 day moving average four different times.    My bearish views were confirmed last week with a high volume breakdown after the Federal Reserve gave a sour report on the state of the economy.  Trading became highly…
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Death Cross Confirmed, Gold a Sure Bet During Crisis

Several weeks ago I wrote about the death cross phenomenon.  The death cross occurs when the 50 day moving average crosses the 200 day moving average on the downside.  These patterns, when combined with other technical indicators can predict major market downturns.  You may have read articles from the bullish camp and from many technicians…
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Gold Breaking Out Vs. Euro, Relative Strength Chart Shows Trend Change

The trade deficit widened unexpectedly this month after the dollar reached extremely oversold levels, which was quite surprising to Wall Street.  Usually, a weaker dollar should lead to an increase of exports of U.S. goods; however, the exact opposite occurred.  This further signifies the global economic slow down despite record government stimulus, a devalued dollar…
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Has the Stimulus Worked? Advance Decline Line Says No.

The November 2010 election is right around the corner. As the Democrats praise the federal stimulus and Barack Obama as the savior of the American capitalist system, Republicans who also initiated a bailout now reveal where the money was spent frivolously and recklessly in order to gain votes. Regardless of which party gains power, the…
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How Europe and The U.S. Are Trying To Prevent A Global Currency Crisis

Economic sentiment rose to a 28 month high in Europe after the panic sell off earlier this year when the Euro collapsed.  A major rally has ensued after the most severe financial panic in the Euro's history.  Now the rally is pushing higher, but have the concerns dissipated?  I am extremely concerned about this rally…
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