Blink, and you might have missed the selloff this morning when nonfarm payrolls came in much higher than expected but the January print was revised sharply lower.Fortunately, the algos were on it, immediately crashing VIX to a point where a 15-pt decline in ES turned into a 15-pt gain.

This should put SPX at its 1.272 Fib extension, a potentially important level of overhead resistance ahead of next week’s CPI and PPI prints.

continued for members…

The weakening dollar, while supporting stocks, is providing a strong boost to silver and gold.

I am very tempted to become bullish on gold, but suspect that this latest apparent breakout will fail as all the other have. CL and RB remain in a holding pattern. Watching the SOTU last night, it was hard not to consider how there might be a monumental battle between OPEC+ –  which would obviously prefer a Trump presidency – and the world’s central banks – which want inflation to remain subdued.  It should be interesting…