The new year begins with an AlgoHell day where everything keyed off of a rising POSX. This sets up the most important question of the day...is this simply another "bear flag" in the ongoing downtrend for the index or is it the start of a consolidation and bounce?
That is the key question this week and we are unlikely to have the answer before Friday and the BLSBS. If the POSX trends higher and back toward 103, then the Comex PMs will remain under pressure. If, instead, the downtrend in the POSX resumes and it makes its way to sub-100 by mid-month, then the PMs are going to hold...
