Stocks - The major market index internal indicators have been very weak with this current market advance. Psychology and sentiment indicators have reached very high levels giving more indication that a very possible sell-off is in the works. The Dow Jones index current support is 17,736, and if it breaks the forecast would be for much further downside. The forecast is now for more caution to the upside and the higher potential of a sell-off for all the major market indexes.
Bonds - After the huge sell-off in the 30 Year US T-Bond look for prices to stabilize consolidate for the time being before heading lower again longer-term,
US Dollar Index - The US Dollar index has now hit an intraday high of 100.57 hitting the previous forecast of 100.51. Short term the market is fully bought now, and could possibly see a slight pullback to consolidation for a little bit now. Longer term the USD can easily head higher from here. The forecast is still higher longer term. Current near term support now is 99.898. If these support price areas break then the forecast would be for lower prices.
Gold - Big gold bulls have been exiting their long positions with the slide in gold now. Psychology and sentiment for precious metals is very negative currently suggesting a bottom may be forming for some upside potential. The 1,180 to 1,200 price area does offer some major support and if this price area holds, the market could possibly see prices head higher again above 1,375.53 possibly heading to 1,434 to 1,500. Watch this 1,180 to 1,200 price area for support to hold before placing new long positions. If this price area breaks support gold could start heading lower very possibly down to the 1,000 price area.
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