Hence, the “clock” for appraising a secondary reaction is set to zero.
I don’t have much time to write, since my mother is in hospital and I am taking care of her.
US STOCKS
I see on the charts that yesterday (Jan 25) the SPY (and the SP 500) and the Industrials made higher closing highs. Today the Transports did the same. In other words, the previous closing highs of Dec 13 (for the SPY), Dec 20 (for the Industrials) and December 8 (for the Transports) have been jointly broken out.
Hence, since the primary bull market signal of November 21st, 2016 no secondary reaction has developed. Higher confirmed highs means that any secondary reaction is to be counted from the last recorded highs.
All in all, the primary and secondary trend was, is, remains and has been reconfirmed bullish.
GOLD AND SILVER
The primary and secondary trend is bearish, as was explained here and here. The primary bear market was signaled on September 30rd, 2016.
In my last post I was hesitant as to declaring the existence of a secondary reaction (I needed one more day of rally for SLV, something which has not occurred). Thus, SLV needs to better its last recorded closing highs of Jan 23 so that the time requirement for the secondary reaction is met.
GOLD AND SILVER MINERS EFTs
The secondary trend is bullish as explained here
The current decline could be setting up SIL and GDX for a primary bull market signal. I write “could” since I don’t have the time to measure percentagewise the current pullback. The time requirement for the pullback which sets up stocks for the primary bull market signal has been met (2 days for GDX and 3 days for SIL).
Sincerely,
The Dow Theorist
