Thursday, August 20, 2009
A Look at Gold & The Markets
This video clip from CNBC, sums up what I've been saying now for several weeks. Especially on Gold. see yesterday's chart below.......
On the move in the markets this past week, talk lately has been on how the Shanghai Index (China market) has been a precusor to our market. Just recently having corrected 20% (bear market), but in the context of an explosive 100% rally. My indicators are still showing increased volatility and an overbought short term market. My downside target on the S&P 500 remains 950, but even the slightest blimp down has been met with buyers, a very resilient market, that has even those much more experience and smarter than me confused. But markets do that...fool you that is for longer than you think. But like I highlighted yesterday, from CNBC-Doug Kass said; "It's best to lose opportunity than capital."
On my suggested stocks list, I'd forewarned over a week ago that the markets were extended and to take some profits, plus hedge. Keep in mind we're entering Sept/Oct, historically bearish months for the markets. Bottom line...remain cautious and nimble.