No, I'm not changing the name of the site but if I crank out a few more posts like this one, I may have to think about it.
So here comes the chart dump. I hope you're ready. Presented without much additional verbiage since I have already written most of my thoughts onto the charts themselves.
We are very close to the breakout. All we need is a little shove. Something to squeeze shorts and start the momentum to the upside. Gold has clearly bottomed and is trending higher. A break of the "Battle Royale" line near 1670 and IT'S ON. Silver looks much the same. The original Battle Royale line is now somewhere between 28 and 28.50. And you wonder why silver seems stuck just north of $28? The BIG FIGHT will be at Battle Royale II, which is currently near $32. Through there and it's off to the races, once again.
We've watched The Pig rally now for what seems like an eternity. From 73 in April 2011 to 84 last month. Keep your fingers crossed but the charts are starting to signal that the move may finally be over.
As discussed yesterday, there are all kinds of factors affecting the crude oil market, the topping Pig being just one of them. Crude bottomed in late June and has since moved steadily higher in $5 increments. Having now bested $93, could $98 be next? Probably...
The grains present a mixed picture. The soybean chart looks like crap and this is likely due to the outside possibility that rain may come and allow for a salvageable bean crop. We'll see. Corn, on the other hand, has double-topped at 8.25 (cash) but is putting in a series of higher lows as it consolidates around $8. This chart sure seems to foreshadow a burst higher but maybe I'm just seeing things. The crop report that comes out on Friday will tell the tale.
Just three homework assignments for you. First, Jeff Nielson has published an insightful piece that you should take a few moments to read: http://www.bullionbullscanada.com/intl-commentary/25687-crime-of-the-millennium
Our pal, Mike Krieger, posted this item earlier today regarding the deteriorating conditions in Spain. Yikes! http://libertyblitzkrieg.com/2012/08/08/spain-is-reaching-the-boiling-point-activists-steal-in-bulk-from-supermarket-and-bring-to-food-kitchen/
And if you get a minute, please watch this "60 Minutes" expose from last March. It alarmed me at the time and, when I first heard of a possible, second California refinery fire this morning, it immediately came back to mind. Note that the tone of the report is not IF the Stuxnet virus comes home to roost, it's instead WHEN.
Lastly, I think I'll take the day off tomorrow. The final golf "major" of the year is at Kiawah Island, South Carolina on a course that I had the opportunity to play recently. I plan to kick back and enjoy watching Tiger et al struggle and fight to conquer the links and the wind. I'll try to post something later tonight to give you something to discuss tomorrow. Until then, be relaxed and joyous. We are winning.
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