Morning Update

From last night's late post....

Gold had a strong negative divergence, they were selling into the price climb off the opening gap lower, it's very clear now that between that and the end of day positive divergence that someone knew something. It's ironic that I mentioned some of the BRIC countries growth and China's growth drove the Asian markets over night and the US markets this morning. In any case, this is another example of smart money knowing the outcome before hand, taking the market down to accumulate shares toward the end of the day and then popping it up today. Now we have the bounce back on track for now. I need to watch closely for them selling into it so we can fulfill the rest of our strategy.

You see the Judo concept and you see the forward manipulation. Now lets see about oil.

As I discussed with a member this a.m. and as you could probably tell from my post, I think we are going to see an implosion of the gold sentiment, I don't know if today's the start of it, but clearly it looked a lot like the parts are all falling into place. Whenever the market gets overwhelmingly sentimental on one side, like we saw with the housing bubble or tech bubble, it's near an end. Before the market collapsed in 2007/2008 there was constant talk about DOW $20,000. Sentiment was very one sided, which leaves a huge opportunity for smart money to employ the Judo concept on a massive scale. Their job, their paycheck comes from making the most people wrong at any one time as possible.

The dollar got slammed today, last night's post showed the intense distribution in the dollar and the night before I mentioned that it was coming very soon, that's helping the markets,  interestingly, it's not helping GOLD so two different dynamics are at work there and gold is moving down despite the dollar. This may be that sentiment trade I mentioned and the GLD did put in a perfect Judo reversal yesterday when it gapped so far from the ascending wedge, it left a lot of bag holders.

Well by the time you read this inventories should be out and we'll know if what the 1 hour chart has been sticking to will materialize into what I'd like to see, but also as I mentioned, what would be another sign that the market is manipulated with help of the US government.