Last week was nothing special as stocks continued to drift higher on light volume and the CBOE Volatility Index, or VIX, reached a new multiyear low. This mix of higher prices on light volume, multiyear lows in the VIX and an overbought market paints a clear picture to a market technician -- be ready for a pullback. I issued a report last Wednesday on sector rotation comparing the price performance of the gold, silver, oil and natural gas sectors from the January peak with last week's price action. It was very interesting and it pointed to a sharp selloff Thursday or Friday. Gold Gold last week gapped higher then traded sideways for a few days. I will admit it was very tempting to buy into the move but I stuck with my trading strategy which is to not chase moves which gap in my direction. Gaps are known to get filled about 70% of the time. What that means in this situation is that the price most likely will sell back down to fill that gap before trying to move higher.