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During the day on Monday, we get a handful of announcements coming out of China that could move the markets, namely the CPI and PPI numbers. Ultimately, this gives us an idea as to how the global markets are moving, and can have far-reaching effects, far more than most people are aware of.

1 – Because of this, we are paying attention to the US dollar. It looks as if it is fairly stable at the moment, but at the end of the day we believe that the Federal Reserve and the possibility of walking away from interest-rate hikes still plagues the US dollar at the moment. With this, expect quite a bit of volatility in the comes to the Forex markets, but right now it does not appear that anybody is willing to put enough money in the market to cause an impulsive move.

2 – Precious metals still look very healthy, but aren’t quite ready to break out to the upside yet. They are both well supported though, so at this point in time it’s likely that call buyers will be attracted to these markets as the central banks around the world continue to flood the markets with liquidity, typically that means that precious metals get very positive.

3 – Stock markets look a bit mixed, at this point in time it appears that the put buyers are in control, and as a result we could have a bit of a negative day. Ultimately though, most stock markets look like they have quite a bit of support and resistance in the general vicinity, so short-term trading will more than likely be the norm.