As one can see stocks are working to regain their first level of importance coming out of what we believe to be the bottom of the current correction. Yes the world isn’t ending!!!!! The market is being led by semi conductors as usual. Every bull market has a driver . The next 10 years will be semis robotics biotech and artificial intelligence. Our trade of tqqq plucked the virtual bottom of this correction at 35$ providing us with a MASSIVE MOVE TODAY. We expect more follow through into Thursday . We expect a possible retest in the days ahead or higher low. We will alert our followers to our strategy shortly.
We are waiting to see if gold can take out 1700. Our feeling has been NO. We feel a top will be generated shortly under 1700 and gold will enter into another sell off into mid April. A 2 day closing above 1700 would change our thinking. We expect a tradable low to occur in early/mid April . We will be watching golds action for clues in the coming 48hrs. At this point the most one could expect on a pull back would be a retest of 1450-1500. With Goldman Sachs coming out today and upping price targets of the metal it should buoy price with hot money flowing in chasing here. The bullion banks will continue to attack into April so don’t get complacent . Gold will lead silver and the gold miners will follow.
We feel oil offers good long term value for investors not traders at the current point. Any rebound should be sold into until the outlook improves with the current oil war between Saudis and Russians.