Vector Commodities

Gold - Strategy: Neutral

The gold markets had a slightly positive session on Friday, but found the $1220 level to be resistive. Ultimately, the markets look like the ready to continue going sideways overall, and as a result we don’t really have an interest in dealing with this market at the moment. In fact, it’s not until we get above the $1220 level that we are interested in buying for any real length of time, or a break down below the $1180 level that we would be interested in selling.

Silver - Strategy: Neutral

Silver markets initially rallied during the course of the session on Friday, testing the $16.50 level. That area offered a bit of resistance, and as a result the market turned back around to form a shooting star. With that, the market looks as if it’s going to struggle to break out of the recent consolidation, so therefore we are going to stay on the sidelines as there will be easier ways to make money in the markets. However, we will watch this market to see if trading opportunities present themselves in the next few sessions.

Crude Oil - Strategy: Buy on Dips

The crude market did very little during the session on Friday, as we continue to meander around the $56 handle. The candle was negative, but just barely. This is an area where a support and a resistive area for light, so it’s going to be interesting to see whether or not market makes up its mind quickly. If we get a break out to the upside and we believe that the $60 level will be the next target although we also recognize that there is a lot of choppiness between here and there. On the other hand, if we break down below the $55 level, we feel the market will then probably try to head back down to about $52. Ultimately, we believe that no matter what happens this market is going to be very choppy and volatile overall.

Gold - Strategy: Buy on Dips

The gold markets broke much higher during the session on Wednesday, using the 1180 level as a bit of a springboard. We believe that ultimately this market is going to break out above the 1220 level, but it’s not until we clear that area before we start buying. On the other hand though, if we formed a resistive candle in that area, we would be more than willing to start selling as it looks as if the market would then start to consolidate yet again. Ultimately, we expect volatility no matter what happens.

Silver - Strategy: Buy on Dips

The silver markets broke higher during the course of the day on Wednesday after initially testing the $16.50 level. With this bullish candle, it looks as if we are going to head to the $17.50 level, and it’s also possible that we break out above there.

Crude Oil - Strategy: Sell on Strength

The crude oil market had a very bullish day on Wednesday, as we tested the $50 level yet again. That being the case, the market looks as if it is trying to get a little bit of bullish attitude in it, but we also recognize that there is a massive amount of resistance just above. Keep in mind that a resistive candle could appear anywhere between here and $55 and still give us a nice selling opportunity. Even though this is a very nice-looking bullish candle, we will not take advantage of it as a buying signal, simply because the trend is so negative. The US dollar continues to be the strongest currency in the world right now, so it makes sense that commodity markets will suffer. We have no interest in buying this market as the sellers are firmly in control.

Gold - Strategy: Buy on Dips

The gold markets fell during the session initially on Friday, but found enough support below to turn things back around and form a nice-looking hammer. That being the case, if the market breaks above the top of that hammer, we should then head to the $1220 level. That area will be resistive, based upon what we had seen happen on Thursday. Ultimately though, if we can break above the $1220 level, we should go much, much higher. We have no interest in selling yet, but below the $1180 level we would in fact start doing so.

Silver - Strategy: Buy on Dips

The silver markets broke down during the course of the session on Friday, going below the $17.00 level. However, we found enough support to turn things back around and form a hammer. Ultimately, we believe that the markets are probably going to be very volatile in the short-term, but if we can break above the $17.50 level, we believe that the silver markets can break out significantly. On the other hand, if we break down below the $16.75 level, we feel that this market will probably head down to the $16 level in the short-term.

Crude Oil - Strategy: Sell on Strength

The crude market fell during the session on Friday, forming a slightly negative candle. This suggests that the bullish pressure is running out, as we have formed a smaller range on Friday then Thursday, and has also turned things back around to show negativity. If we break down below the bottom of the range for the Thursday session, it is in fact a selling signal, so we are short of this market below the $49 handle. We have no interest whatsoever in buying, as there is a significant amount of resistance just above. That being said, we recognize that there should be a lot of volatility in this marketplace going forward, but we recognize that the market will more than likely head back to the $45 level, which of course is in line with the longer-term downtrend that we have seen in this market for so long.

Gold - Strategy: Buy on Dips

Gold markets rallied during the session on Thursday, testing the $1220 level for resistance. We did in fact find resistance there, so we turned back around and formed a shooting star. If we can break down below the $1180 level, we feel the market will sell off to the $1140 level. On the other hand, if we break the top of the shooting star that would be an excellent buying opportunity. In the meantime, expect a lot of volatility but we should make some decisions fairly soon about the longer-term move in the gold markets.

Silver - Strategy: Buy on Dips

The silver markets broke higher during the course of the session on Thursday, testing the $17.50 level. However, we pullback enough to form a massive shooting star, so now we are on the fence about where to go next. If we can break down below the $16.75 level, we feel that this market should sell off back to the $16.00 level. However, if we get above the $17.50 level, we would be buyers at that point time as we should then head to the $18.50 level next.

Crude Oil - Strategy: Sell on Strength

The crude market rallied during the session on Thursday, but found enough resistance near the $53 level to turn things back around and selloff about half of the gains for the session. This only confirms what we believe, that the oil markets will sell off every time we rally. We believe that the market will invariably head back down to the $45 level given enough time. We don’t have any interest in buying this market and we look to short-term rallies as opportunities to get involved again and again. If we can break down below the $44 level, we feel the market then heads to the $40 level given enough time. In fact, we have no interest whatsoever in buying this market until we get above the $56 level, something that isn’t going to happen anytime soon.

Gold - Strategy: Buy on Dips

Gold markets initially fell during the course of the session on Wednesday, but found enough support to turn things back around and head towards the $1200 level. The $1200 level of course is resistive, so we believe that if we can close above the $1200 level on a daily chart though, the buyers would then come in and push the market much higher. On the other hand, if we break below the $1180 level, we are sellers as the market should head back down to the $1140 level.

Silver - Strategy: Buy on Dips

Silver markets went back and forth during the course of the session on Wednesday, testing the $17.00 level. With that being the case, the market looks as if it is going to struggle in this general vicinity, so we are looking for pullbacks in order to start buying again, as we would anticipate seeing the support enter at $16.50 or so. On the other hand, if we can break above the top of the range for the Wednesday session, we would be buyers there as well.

Crude Oil - Strategy: Sell on Strength

The crude market initially tried to fall during the session on Wednesday, testing the $47 level for support. It did in fact find it, and then ended up going higher, heading towards the $48.50 level. Ultimately, the market looks as if it is trying to go higher and reach towards the $50 handle. That area should be rather resistive, and as a result we are simply going to let this market rise a bit and then start looking to sell it again. We believe that the long-term downtrend continues, as the US dollar continues to strengthen overall and the demand for oil simply isn’t there. On top of that, we have almost no storage left in the United States for petroleum, as the Americans are completely awash in crude oil. Because of this, we believe that it’s only a matter of time before we start selling off again in this marketplace.