US announcements will move the markets on Friday

During the session on Friday, because all of the economic announcements come out of the United States, we believe that the US stock markets will be of special interest, as will the US dollar. We do recognize that there will be trades in other markets, but cannot help but believe the USA will be the majority of the volume during the day.

Silver markets fail yet again

Looking at the silver markets, you can see that we try to rally towards the $15 level again, and just as we have every time we’ve rallied, we had sellers step into this market and push prices lower. Because of this we are buyers of puts on short-term rallies, and most certainly buyers of puts below the $14.48 handle as we should then head towards the $14.00 level. We have no interest in buying calls.

The Dow Jones 30 tried to rally during the day but pullback in order to form a fairly neutral looking candle. We believe that there is a massive amount of support below at the 16,000 handle though, so we are looking for pullbacks in order to buy calls. We believe ultimately this market will go higher, but right now just needs to consolidate overall.

USD/CAD pair finds support

The USD/CAD pair initially fell during the course of the day on Thursday, but found enough support at the 1.32 level to turn things back around and form a hammer. The hammer of course is a bullish sign, and therefore we believe that every time this market pulls back it offers “value” in the US dollar. We are buyers of calls every time we fall as there is a massive amount of support below.