The market was so erratic for the past month and was on the verge of dropping hard but some participants are not that in one conviction, pulling each other's throat that turns the market on a zigzag mode. The daily chart (below) of the S&P shows a deep cup with a handle pattern but the handle is extending, which is showing a concern as far as this humble market observer 'crystalizes'. The bars (red) especially the bigger ones are very 'scary', they are on the verge of dropping hard at any moment. I guess the bears are anticipating shorting the market here, while the bulls are just making it safe by putting a hard 'stop' for protection. If that happens, expect a brief hard push upwards for a 'short squeeze' and then on the way to the bottom?
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For the Gold, there is no sign of relief unless John Paulson will buy the market here, but that is a foregone observation. But no one knows, except that it is dropping slowly, like squeezing one's neck bit by bit until it loses its breath - that's scary. Just take the Gold day by day, and monitor the Chinese or the Indian's angst for Gold, they might buy the yellow metal in bulk, if that happens, trade in-between to capture the abrupt move in case.
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As for the Crude, it is moving upwards, it still a good swing here, but most likely a very tight fight between participant's opposing views. The best trade is on a day to day basis, probably on a short time frame. Expect a hard drop and hard push upwards, but it depends on how participants behave, so watch for it. Unless some major on-goings overseas might happened, especially of that in the Eastern Europe?, so be very vigilant out there traders.
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Check the Calendar Events below for guidance.
http://mam.econoday.com/byweek.asp?day=31&month=3&year=2014&cust=mam&lid=0
