The Setup has been Triggered…

We have been saying for some time that a definitive top in precious metals was a necessary precursor to the Blow-Off top in stocks. It looks like we now have that definitive top as the silver bulls finally piled on to the move.

There are some minor things that need to now happen, today we saw our animal spirits indicator come out of its doldrums, but it still is a long way from euphoria and craziness. We now will need to see traders pile into stocks in a wholehearted way. Watching CNBC’s Halftime show is as good as anything for a gauge on this.