By Chris Vermeulen, The Gold and Oil GuyNEW YORK ( TheStreet) -- Three weeks ago on Feb. 5, we saw an extremely high level of fear in the market, with selling vs. buying volume at a 9:1 ratio. In 2009, this extreme level of fear occurred at the bottom of each significant pullback. Since this panic-selling low in February 2010, we have seen stocks and commodities work their way higher, which we expected. Overall, the broad market looks as though it's trying to make a move higher. Below are some ETF charts of gold, silver, oil and the major indexes.
Gold ETF: DailyGold led the market higher in 2009 and also led the market lower in December of 2009. It looks as though gold could be starting a new trend higher.
Silver ETF: DailySilver has much of the same chart features as gold, but is slightly skewed. This is not particularly surprising though, as silver virtually always behaves with less defined chart patterns, due to its characteristically funky price action.
USO Oil Fund: DailyAs with gold and silver, oil's trading chart also has formed a pivot low, but the trend line is much steeper than what I am looking for. I prefer a flatter trend line, as price growth is more sustainable.
Stock Indexes: S&P 500, Dow Jones, Russell 2000Last week the market sold down the first half of the week, then bounced back up, forming a possible pivot low. The daily chart for these indexes looks virtually the same as the GLD, SLV and USO charts above for the past five trading sessions. But, one little thing has me concerned. ...
When looking at the 5-minute intraday charts (posted below) you can see at the very last minute before the market closed that huge selling volume flooded the ETFs. The market ended up losing all of its gain for the day.