A lot of talk right now of "the IPO" and how the market is reacting but one thing I am not seeing much of is the World Leaders plotting at Camp David via the 38th G8 Summit ; approximately 20 miles from my dwelling. I imagine the leaders from their respective country are talking about how great they raped the markets in the beginning of the year to leave the common folk feeding on scraps right now. But now they realize things are going down hill and the economy never really recovered but it sure did look like it. Yes the market may digest news 6 months ahead of time as the case is often quoted, but who really knows. So now they are thinking of ways on how we can all help each other out and the man in corner of the room in the shadow just taking things in while cigar smoke is billowing out in dollar signs is The Beard.
So what comes out of the G8 Summit, who knows. But things would be setting up nicely if we have some miraculous news or intervention over the weekend news from any of the countries economies that would cause this market to skyrocket on Monday and leave people that are shorting or still short to run for cover. News is definitely dire here and institutions do not seem to be buying but are just waiting for any reason to buy. Technically things really don't seem too bad in my opinion as we're coming back to the bottom of the February - July 2011 range. The charts do look appealing for longer term holdings and for some managers to start accumulating. Yes we could see more downside but you can't be in this game to pick bottoms.
This is all speculation of course but the recent action in Gold and Silver is a supporting factor of maybe some news to come and news over the weekend is always a great throw it in your face to market bears. But with all this we could also get the BOHICA Pattern Trade too and more misery to the bulls.