Gold hit a 52 week high in trading yesterday, marking the first time since 2011 (5 long years ago...).
I talked a lot about Gold, Silver and the miners on the webinar. You can click here to see the recording. Commodities Countdown 20160212.
Thursdays close marked the worst start to the year in a while. In the first 30 trading days, we were down 10%.
TLT made a 52 week high on Thursday and reversed intraday to close lower.
USO, the oil tracking ETF, made a lower low on Thursday, reversing intraday to close higher than Wednesday. On Friday, it continued to climb. We still have all the conditions of a bear market. Oil could rise 25% from Thursday's low and only reach the 50 DMA. There is a slight positive divergence in place which could take us back to the 50 DMA.
Here is the actual $WTIC crude chart. $WTIC did not close higher than Wednesday as it formally closes earlier in the day. The 50 DMA is at $34. The low yesterday was $26.05. That is an $8 potential move for traders.
I covered off some of the strongest ETF's currently in the market on the webinar as well. You can link to the webinar archive here. Commodities Countdown 20160212. I also wrote an article this week about the global struggle for growth. The article had more comments in a few days than any of my other articles on the Commodities Countdown. I heard from people across the globe giving me feedback on the article. Almost all were positive. Some people following my work for years thought it might be one of the best pieces I have written. I would encourage you to take the time to read it if you have not already. Please feel free to continue the discussion. 10 Charts On Why The Global Economy Is Struggling For Growth. Enjoy the long weekend. You can follow me on twitter @schnellinvestor and you can get these blog articles directly to your inbox by clicking the green Yes button below.
Good trading,
Greg Schnell, CMT
