Monday Nov 25, 2013
Markets Continue to Go Higher as USA continues to print more money, Japan is forcing its currency to get weaker and Euro countries have reduced their interest rates to lowest levels thus trying to weaken their currency against US dollar.We have no SELL signal anywhere.
The stock market is going higher . Given the testimony by Janet Yellen, it does appear that the Yellen Put is now in place. This surge will be unsustainable. This rally is overbought and cannot continue for ever.
"The U.S. and five other world powers reached an interim deal with Iran Sunday to loosen economic sanctions on Tehran in exchange for steps aimed at capping its nuclear program and ensuring the country's Islamist government doesn't rush to develop atomic weapons. The deal still faces some obstacles, including within the U.S. Congress, before it becomes a permanent agreement.
Wayne Kaufman, chief market analyst at Rockwell Securities, believes the Iran news is a good excuse for the market is following the seasonal roadmap, which implies an underlying strength through Thanksgiving week and the first week of December. "News can accelerate the typical pattern," Mr. Kaufman said.
A highly-accommodative Federal Reserve, low inflation, a slow but steady economic expansion, the lack of attractive alternatives and diminished macro headwinds have helped fuel the market's gains into record territory.
"Although the buying is not robust, there has been a lack of sellers," and that means "the path of least resistance is higher," Mr. Kaufman said.
"The economy has been doing pretty well," he said. "So I think we're fine into next quarter, but the market is definitely becoming more selective."-"-CNBC
Nasdaq
QQQ
GLD
GDX
GDX After the opening is rallying from lows. It made a new low below June lows. Look at the 6 month chart. Silver even went up in early trading. Gold after being as low as $1225 is now trading at $1242 at 7 AM Pacific Time. We can easily have a nice rally here. China is starting Gold Swap Trading in its own currency starting today for the first time in its history.
"The simple fact is that the futures market for gold does not come close to reflecting the current reality in the physical market, where supply and demand are greatly imbalanced. In the near term, it doesn’t matter, because the price is set in the futures markets.
But as long as those paper gold markets continue to set an unrealistically low price for the physical markets, those physical markets will continue to roar ahead with historically high demand.
By manipulating the game to such a degree, they are only hastening its end, and increasing their ultimate loss.
The near-term for gold, silver and the mining shares will continue to be volatile. But the long-term picture is still exceedingly bullish, and that will become increasingly obvious as time passes." Kitco.com
SPY
IWM
TNA
TZA
GLD No Buy Signal yet but Gold appears to have stabilized and ready to go higher above recent highs
GDX ( Gold Miners)
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