If you're new here, you may want to subscribe to my RSS feed. Thanks for visiting!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…
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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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China Drastically Cuts Treasuries By Record Amount, Nervous About U.S. Spending
China decreased their holdings in U.S. Treasuries by a record amount in a U.S. government report issued yesterday. Treasuries at the moment are experiencing a steep rise as the U.S. is financing its staggering debt level by offering its obligations to other countries. China has historically been the largest holder of U.S. debt as…
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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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New Gold’s (NGD) Cerro San Pedro Mine Fully Operating, Presents Buying Opportunity
New Gold (NGD) has been a long term recommendation for my readers since May of 2009 when it was selling at $2.50. I have always been impressed by the quality of assets New Gold owns. New Gold is unique in the mining sector as they are leading the sector in increasing production and reducing cash…
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Gold At Long Term Trend Support, Key Level Highlighted
Gold is now reaching long term trend support after falling the last few weeks as investors returned to bid up the Euro and equities. The bounce in equities, especially financial, retail and real estate may be short lived as volume indicates that there is not much conviction from major investors on the upside. Gold has…
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