Like I had said in my Friday, June 09, 2006 post;
This action tells me we may not be finished with the final capitulation phase of this correction, and we may see a re-test of yesterday's lows before the next Fed meeting. If yesterday was the final capitulation, it wasn't a great one. The only impressive part of yesterday's reversal was the volume. If I had it to do over again, I would like to have seen a larger recovery.
In any event, if yesterday was the final washout, I'll take it.
In any event, a nasty close today, and good news from the PPI tomorrow, could bring a climax to the selling sometime this week.
The down draft today and Friday was a sneak attack. Like I had said on Friday, I like to see a market reversal that ends the day up big, not just up.
The bears will be growling on the financial channels tonight and tomorrow, and since the VIX index has spiked up a bit, we may be close to the end of this phase of the selling.
This week is triple witching of options, and this usually brings with it a lot of volitility. Lets see what happens in the morning after the PPI numbers are released.
Comments (1)
COT report seems to indicate that commercials
are buying Gold and Silver now that prices have
come down.
http://www.freecotcharts.com/charts/SI.htm
Posted by DollarBill | June 12, 2006 8:01 PM
Posted on June 12, 2006 20:01