Today's post will be on the short side due to the facts that I have a full evening schedule and that there is not much to add to my rants of the last two days. The big news of the day, relatively speaking, is the fall in precious metals prices. Gold got clipped for $12 and silver for 25c. I do not believe there is anything terribly striking about these moves. After the nice ascents made since early October, seeing a bit of a correctional pull-back should be no cause for alarm. Of course, those of us holding out-of-the-money call options on metals-related assets such as Newmont Mining hate to see a day wasted, but that is the way it goes.
Home builders tacked on another two percent, taking advantage of the recent momentum afforded them. Regular readers may have noticed that I have started mentioning the homeys more often than I did in the late summer and early fall. I do so because I believe they have mostly run the course of their bear market bounce, and therefore deserve to be stalked for fresh shorting opportunities.
Anyone interested in the current technical situation for both metals and home builders should give Martin Goldberg's latest post on Financial Sense and good study.