InvestBaboo's  Instablog

Gold registered a second day of sell signals along with GDX (Gold Miners ETF) and most mining stocks. However, in the last hour of trading I noticed a strong comeback by all Gold equities on the 5 minute chart. The US$ which registered a buy yesterday performed tepidly today on the charts living it up in the air as to where it is going next. At this point in time I call it a tie between Gold and US$ and amd hesitant to say which way the tide will flow. Stay tuned.

The major market indices had another tough day with the daily charts showing strains however the price volume action was not sufficient to register a sell signal on any of the market indices. Their weekly charts still look good and only a strong volume action to the downside will cause the charts to register a sell signal. Having watched the market indices in action since the beginning of the year I feel that while the past two days have been tiring they in no way compare to the heavy strains I saw a few times ever since the rally begin in March of this year. We are in a bit of a stalemate at the present between the bulls and bears and the market action the next few days will tell us which way we are headed.