Volatility in the currencies persist. Stops for the normal investor will have to be extremely

wide not to get stopped out. Right now some of you have a very small long Eur/Yen or Aud/Yen

position with Long SDS portfolio Hedges from right in here.

Many single stocks, in particular the miners are in corrective phases, which makes for a difficult

directional trading environment. ( You just can’t be long and shut your eyes and expect the instruments to continue go one way without a lot of volatility)

Most instruments have been dramatically overbought. The price action becomes violent when

the sell offs start as in Cat yesterday along with the currencies and stocks indices this week. So far there has been

enough money wishing to be long the equities and these other instruments to squeeze the shorts out on these breaks and keep the chart patterns alive.

The silver pit chart is one of the only clear charts with a 3 day island top. A close under 23 today should take the silver to 22. A close back over 24.10 would give much higher tgt’s.