It gives me no pleasure to report that both the TDI daily and weekly time frame trends have failed in the interim while the stronger monthly has continuously been in a downward trajectory.
As a result, we need to start over from square one in the daily time frame. All these markets are now in a negative posture in the daily, weekly and monthly trends.
Take a look at the XAU daily chart below which includes the Pendulum SRA time cycle tool. The TDI has done an excellent job in providing trend guidance since December.
One does not have to be an analyst to see that this daily chart is not the picture of heath. The XAU’s weekly chart is here.
The daily charts for Gold and Silver are quite similar with the SLV clearly in the weakest position, as demonstrated below.
Let’s hope the TDI is dead wrong on all these markets. Without an immediate lift by early next week (unlikely), their funerals are complete. Again, cheerleading does not change a trend.
Longer term, it will probably take many weeks (at a minimum) to regain a positive picture. Until then, we can safely ignore these markets unless one is short.
Moving to the S&P500
In spite of fundamental issues such as high margin debt (see chart below), a high PE ratio and questionable accounting rules, the S&P500 continues on its merry way, technically speaking. This has more to do with expectations then firm fundamentals. However, money can be made in these trends and within the better performing sectors.
A positive new TDI daily trend is attempting to start. This is within the context and setting of the continuing positive (and stronger) weekly and monthly time trend forces.
The S&P500 weekly and monthly charts are here.
Have a nice Easter and let's enjoy spring.
4/18/14 (updated 4/21)