Closing Thoughts

12:28 pm PST. It looks like we are getting a gravestone on the 20-year bonds ETF, TLT, plus I saw an 800,000 share block trade at 119.62, which we will likely close below. I am bearish on bonds.

screen-shot-2016-12-30-at-12-18-56-pm

We also are getting a gravestone doji on gold, silver, and a lot of the mining stocks. Newmont mining backtested the support trendline, but broke down under it. If it closes below that is bearish. I also saw market makers selling the precious metals. In addition to the 2,000,000 GDX sell trade this morning, I saw 1,250,530 shares of DGL traded at 37.17. If we close below, that is added evidence of a bearish disposition. I am bearish precious metals stocks. screen-shot-2016-12-30-at-12-17-57-pm

The Dow continued to sell off today, still shy of the 20,000 milestone. But with the doji on the TLT, I think capital is going to start moving out of bonds and back into stocks in the new year. I am bullish on the Dow and the banking sector.

screen-shot-2016-12-30-at-12-26-01-pm

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s