Precious metals consolidating
Let's get started with our Dow Theory commentary for today.
The SPY, Industrials, and Transports closed down.
The secondary is bearish, which implies an ongoing secondary reaction against the primary bullish trend, as explained here.
Today's volume was higher than Tuesday's. Since stocks closed down, expanding volume has a bearish connotation, as lower prices were not confirmed by volume. For the reasons I gave here, I'd say that volume is bullish. Furthermore, the last breakup of 08/01 was a bullish pivot, as was explained here.
Gold and Silver
SLV, and GLD closed down. For the reasons I explained here, I feel the primary trend remains bearish. Here I analyzed the primary bear market signal given on December 20, 2012. The primary trend was reconfirmed bearish, as explained here. The secondary trend is bullish (secondary reaction against the primary bearish trend), as explained here.
The Dow Theorist