Signs of Trouble?

May 2, 2014

As the markets hang up near highs, let's look at a bullish sign:

Unless the market is going to enter a much deeper bearish environment, we would expect this indicator to bounce back up towards highs.

I also wanted to follow up on our oil discussion yesterday. We are in USO PUTS in our Oil Options Trader, here is one of our indicators:

This building of oil inventories can be a bearish sign for the price. And oil as a trading vehicle can really trend. So we could see oil head lower for a while once prices start to break.

Timing wise:

In the short term, oil is getting extended, but that is how most longer-term sell offs start. So we will see how this plays out.

******** 

Courtesy of http://www.stockbarometer.com

Silver has 47 protons and 61 neutrons

Silver Phoenix Twitter                 Silver Phoenix on Facebook