I have not commented on metals in some time.

Gold — Gold confirmed a 5-week symmetrical triangle bottom on Wednesday with a potential target of 1121. Is this the final low for Gold — the low that will go down into my “History of Gold Charts” report as the turning point? I doubt it, but the markets never surprise me. A further move to the Oct high would then very possibly be the early makings of the final bottom process. Note that a similar, but larger, symmetrical triangle completed on Oct 9 was a complete dud — rallying for four days before rolling over.

Copper — Copper appears to be completing today a 7-week bear channel. This is too long of a pattern to be a half-mast flat. The target of the massive descending triangle completed on the monthly graph in Nov 2014 as well as the long-term trendline both nearby.

MSCI Emerging Market Index – This chart appears to be completing a continuation H&S top pattern, should weakness hold on through the day. This pattern has a possible target of 620.

EUR/GBP — This cross is threatening to complete an 11-month H&S bottom. A decisive close above .7550 could confirm this bottom.

S&Ps — A weak close today would confirm a 9-week horn top in the S&Ps with a target at the Aug 2014 low. The topping patterns in the U.S. stock indexes have not been with clarity.

General comment — Nearly every market I am following is grossly overdone. The first trading day in 2016 set the tone for the type of volatility to be expected. Do NOT chase big rallies or breaks, lest you be run out of a position exactly where you should be putting it on.

plb