Make Kitco Your Homepage

Dips to buy

Commentaries & Views

S&P 500 indeed entered yesterday in a corrective mode, which turned out to be a shallow downswing. USD and yields moved up – a bit too much to my liking, in a move that I saw as fake, especially when the closing prices are considered. And these are being duly reversed today, in what is increasingly looking as a solid risk-on day.

Today, we shouldn't really move below 3,900, and my first target of 3,935 should turn out a piece of cake for the bulls today – such was the technical outlook before JOTLS openings and ISM manufacturing PMIs – these didn't disappoint, and thus are fueling the hawkish Fed bets, with bonds obliging and duly giving up much of intraday gains. I'm looking for this gyration to prove temporary, and for stocks to work first on stabilizing and then on recovering lost ground. The fresh objective is to return back into 3,900s.

Note though the strong silver upswing which I had been vocal about for quite a while already – the white metal is joined by copper, which I looked forward for seeing as a sign of short-term confirmation. The hit after the incoming data would prove temporary – even if cryptos aren't participating Tuesday, which is a little red flag which I think we can afford to ignore – I'm not looking for a risk-off reversal today. Just a setback that has to be worked out, and will be. Asset prices broadly speaking would return to benefiting from the retreat in yields that's serves to take the wind of USD sails.

Keep enjoying the lively serving you all already in, which comes on top of getting the key daily analytics right into your mailbox. Plenty gets addressed there, but the analyses (whether short or long format, depending on market action) over email are the bedrock, so make sure you're signed up for the free newsletter and that you have Twitter notifications turned on so as not to miss any tweets or replies intraday.

Thank you for having read today's free analysis, which is a small part of the premium Monica's Trading Signals covering all the markets you're used to (stocks, bonds, gold, silver, oil, copper, cryptos), and of the premium Monica's Stock Signals presenting stocks and bonds only. Both publications feature real-time trade calls and intraday updates. While at my homesite, you can subscribe to the free Monica's Insider Club for instant publishing notifications and other content useful for making your own trade moves on top of my extra Twitter feed tips. Thanks for subscribing & all your support that makes this great ride possible!

Thank you,

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.