Some Indicators Developing
The stock market is in the middle of a macro sell-off with the S&P index having upside resistance in the 1045 to 1050 area. There will be some bounces at times and they will be sold.
On the hopeful side the important dollar / gold ratio started to turn yesterday. Everything, stocks, commodities, T-bonds, and the dollar had marginal gains against gold, ie gold fell more than any of the other areas. We still believe that a stock market bottom will be signaled by a major drop in gold prices. That is probably six weeks away.
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