Every morning I spend 30-45 minutes going over the news stories. I check out the leading financial websites and some commentators that I follow too.

On CNNFN there is a headline that says "Days of Big Oil Are Over." When I click and read the story it notes that oil is trading up this morning. It seems that no one has anything good to say about oil or commodities anymore.

Well, no one except gold bugs who have been in gold for some time and understand what is going on. Hedge fund manager William Fleckenstein wrote this:

"As to what that might be, a knowledgeable reader (who essentially does nothing but trade gold shares -- and rather successfully) pointed out that it wasn't just NEM and PAAS yesterday but the whole gold-stock group that's been giving off bullish signals for a little while now. He noted that when gold-share prices dig in despite an extremely weak gold price, and it's after a major correction, it's one of the best signals that a turn is at hand. (Certainly, if you looked at a gold chart this morning, you could see how it might illustrate the right shoulder of an inverse head-and-shoulders bottom, which is a development I've been thinking might occur.)"

"Today I decided to put up some money behind that view, as I bought silver, gold, gold calls and some NEM calls. However, this is a trading position, and I could obviously be wrong. If it doesn't work, I may need to punt on a portion of it."

So, even the most bullish of gold investors - who actually bought yesterday based on the bullish action - are nervous and ready to exit at the first signs of trouble.

Yesterday I made note Latin American markets. ETF ILF looks poised to breakout and make a big six month run. Here is Marc Faber on Emerging
Markets