Last night I mentioned that a buy signal has not been initiated by the 60min chart, and it has not done so all day up until the end of the day when it popped its head out. But this is an intra-day indicator so having the signal show up at the end of the day is useless. What we saw today was a weaker close into the end of the week. The trends remain bearish until next week, but we will have to see what the oversold conditions will do to the markets. We would expect the markets to make lower lows as long as the oversold reading remains. Try not to outsmart this one and just follow the signals.
We are now resting on the 75ma on the SPX daily chart that I was mentioning yesterday and proved to be a support all day, as the daily Stoch. entered oversold catching up to the DOW.
What is interesting is how large of an interest the precious metals have been having. Even JPM put out a BUY on Gold. A surprising call since they have been scouring the banks looking for the precious metal, and pretty much demanding it from them. But the chart says it all and I would not be buying any precious metals at this juncture, and keep what position you have until the signal turns down. I believe that it is still missing a leg down of sorts. Although I believe this, the indicator does not have a sell yet, but is almost at that point. I suggest keeping an eye on this as it could put a burn on some bullish investors in metals.