I’m a sick puppy. I love it when markets start to feel pain. That’s when I begin to sit-up, put my shopping list together, and get ready to push the Buy button. The metals declined, the miners got hit pretty hard. Some support levels were broken, and I’m hoping that downside volume picked up to at least average volume or better. If it did, then the time should be getting close at hand. So, charts… talk to me, what do you have to say?
So, we’ve got decliners on big volume. That’s what I see with: CDE, SILJ, RGLD, SGDJ, GDX and SSRI.
Others have fallen on average volume. See: SLW, FSM, HL, PAAS, PVG, ABX and AG.
Then, there were those fell only on light volume: GLD, SLV and SGDM.
Hmmmm, it wasn’t ‘bloody’ enough for me. Average volume for all 16 issues did increase, but only by 26%. It would have been nicer, had it expanded by 50%, or more. In any case, I must update the timer, and see what it has to say!
It is saying that we really need to start to give consideration as to what, and how much, we might want to be a buyer of! Price has made contact with its first of two lower trading bands. That’s one signal in favor. F1, at 19, has signaled. It will be better if it gets to 10 or lower. Another day or 2 could do that. F2 has cleared -4, and it has signaled. F3 is at 21 and falling fast. It, too, needs to get to 10 to signal, so another 1 or 2 days could make that happen. F4 is at a -2.4, and could use at least one more day to reach its signaling place. F5, now at 38, has just signaled! Finally, F6 has just hit the floor at 0. It has just now signaled.
So, marginally, price is there. F1 has marginally made it as well, as it just got under its lower trading band, but I’d like to see 10 or lower. F2 is there, but it’s usually first, so I can’t put much stock in it. F3 could use another day or 2. F4 could use just 1 more day. F5 is in the bag, as is F6. Friends, be ready. If you should note a turning in price, on volume… tomorrow, Thursday, or Friday; I should think we would want to be getting on board that train, as I believe it might try to pull out of the station very soon! Some more downside, on even bigger volume… especially if it were to qualify as panic selling, would be absolutely ideal! Is that too much to hope for? My hope is that it is not. So, here’s to a panic sell-off! 😉
Wednesday morning, and almost 8:30 am EST. The metals are up a bit overseas. Let’s hope that doesn’t last. It would be a beautiful thing if it would fall back some more. We don’t often get our way, though…………
Here’s to your accumulation of real wealth!
Harold F Crowell