As January Goes

Goodbye to this month,the best month in the Dow in 16 years. Not a great month for Gold but I have a feeling February is going to be just giddy for us Gold & Silver traders, stackers, etc. I am in a rush but I hope to make a clear picture through this message today. The charts I posted last night were all daily timeframes except for the Dow, today I am posting hourly charts of Gold,US Dollar, Aussie and the CAD.

I want to point out something regarding the stock market.As a trader you always have to keep an open mind and not let the markets get the best of you. I feel strongly that Gold is of great value and that the stock market could crash at any time, however I will not fight what the market or the CRAZIES as I call them, are doing. I did exit half of my short position in the Dow and am considering getting out of the other half. We saw negative news with consumer confidence and a surprise negative GDP # yesterday, today we got a positive Chicago PMI, a regional manufacturing # and the stock market was up in minutes what it was down for the day yesterday. Amazing how the market reacts to a regional survey but the Nations GDP is contracting and all the stock "EXPERTS" want to do is make excuses! Maybe, the market will go a couple of hundred points higher from here, I have seen enough to weigh my risk at this point.

Onto my charts, first look how close we are to breaking down in the Dollar. You will see that the Cad Dollar has reversed its losses and has gotten back above parity and the Aussie has a nice double bottom to trade off right around 10345. The chart on Gold is there for you all to see, pure BS, however we are getting to that 1650 level which should offer support. I would have added to my gold today but I am aware of the risks associated with tomorrow's job report. Maybe we will get a better deal tomorrow.

Sorry to be short, but I have a family obligation this afternoon. I hope you see what I see with my charts and brief explanation.

Thanks and Have a Great Day!