They Slide Faster Than They Glide!

I learned that rule more than 30 years ago when I was trading in the pits as a member of the CME. Translated it means, markets go down faster than they go up. We only have to look at the last two or three weeks to see how true that saying is.

It's Friday! It's the end of the week and investors are shell shocked and for the most part very nervous. A weekly close today in the S&P500 below 1,178.81 reinforces the bearish outlook for equities in general.

In contrast, gold is up over $100 for the week and looks like it is getting pulled closer and closer to the magical $2,000 level. If the chaos in Europe continues, gold will continue to benefit.

The trend in crude oil continues to be on a negative track and is down about $3 for the week, at the time of this writing.