Weekly Charts

I've got so many things to cover with you this weekend, I don't know where to start. Frankly, I hope Mrs. Ferguson grants me the "office time" to get it all cranked out. Later today, Little Turd #2 plays for 3rd place in her basketball league and Little Turd #1 has a dress rehearsal for the school play. Throw in some late afternoon church and some basketball-watching time and, well, you get the picture. Keep checking back this weekend as we need to discuss the HUI and miners, I need to post a "Turd's Mailbag"update, we need to check in all of the agricultural commodities and Blythe needs to have another strategy meeting with Ruprecht, too. So much to do, so little time...

First up today are your weekly CRB, crude, gold and silver charts. I'll save the gold chart for last because within it lies a warning for next week. First up, here's a look at the relentless rise of the CRB. The Bernank has really done himself proud with this one. What a jerk.

Next, check out this crude chart that, conveniently, reaches all the way back to the highs of 2008. Now that we've broken out through 95, it looks like the next resistance is somewhere near 110-112. Through there, maybe 125 and then 135. Very bad news for the consumer.

The only thing I can say about the silver chart is "WOW". Its really incredible. Since we don't go straight UP, however, it may be time to look for a spot where a brief, sharp correction may start. If I had to guess, it would be somewhere around $37 or $38 as those are the points where you could state that silver had doubled from its breakout last August. A double is kind of a psychological selling point and barrier. We'll see. I'm clearly speculating here but that's really all we can do in this unprecedented "market".

Finally, here's your gold chart and the warning that it gives us.

First, note that we made new daily and weekly closing highs. Very impressive. I've marked on the chart the past three, weekly highs. If you look closely, all three were followed by down weeks the next week. In fact, the first high brought a sharp selloff on the following Friday, 5 days later. The second high led to a sharp selloff on the next Wednesday, only three days later and the third high had a selloff on the following Tuesday. You know by now how important pattern recognition is to my prognostication ability so I think we need watch this next week very closely. In fact, if the PMs rally early next week, I'll probably be looking to book some profits and raise some cash as early as Happy Tuesday. Gold at 1445 and silver near $37 would certainly be logical spots to lock in some gains. We'll see. A lot depends upon the geo-political situation. Rest assured, I'll keep you posted as we go along Monday and Tuesday.

OK, that's it for now. Again, keep checking back this weekend as there will certainly be more posts as time permits. Thanks for your patience. TF