Some other things I see at "extremes" in the market is around
the Euro which as we have seen is in semi freefall. Non Commercial
shorts were at pretty high levels last week and extremes so i would
not at all be suprised to see the Euro bounce next week coupled
with an Equities rally and pullback in safehaven currencies of Gold
& Silver
I think medium/longer term we have some big structural
issues here in Europe but no point looking too much in detail.
History tells me that mean reversion or semi mean reversion
happens in most bombed out instruments at some stage
(excluding specific equity related issues).
We are in a time frame Mid May where we often have peaks in
metals. So with extreme positive sentiment [ per Steve ] and very
overbought we are at or near a Short term TOP.
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Good point on Silver here
Silver
Posted by vimal on 15th of May 2010 at 06:39 pm
Good point on Silver here Steve
Some other things I see at "extremes" in the market is around the Euro which as we have seen is in semi freefall. Non Commercial shorts were at pretty high levels last week and extremes so i would not at all be suprised to see the Euro bounce next week coupled with an Equities rally and pullback in safehaven currencies of Gold & Silver
I think medium/longer term we have some big structural issues here in Europe but no point looking too much in detail. History tells me that mean reversion or semi mean reversion happens in most bombed out instruments at some stage (excluding specific equity related issues).
Silver
Posted by rbreese on 15th of May 2010 at 07:50 pm
We are in a time frame Mid May where we often have peaks in metals. So with extreme positive sentiment [ per Steve ] and very overbought we are at or near a Short term TOP.