There are four charts I have my eyes closely on: Live Piggies, Silver (two graphs) and Corn.
I have discussed this chart structure before. The advance on October 25 completed a 5-week symmetrical triangle bottom pattern and set up the possibility of a massive 6-plus month flag. This interpretation would have an upside projected price of $50 to $55.
Click on the link for the charts
The next three articles were sent to me from Shaza
Bild Zeitung Calls for German Referendum on Bailouts, Greek Euro Expulsion
Whispers of Return to Drachma Grow Louder in Greek Crisis
The political upheaval in Athens has suddenly made the once unspeakable — Greek debt default — a distinct possibility.
So now it is time to ponder the once unthinkable: that Greece might end its 10-year use of the euro [EUR= 1.3813 0.0002 (+0.01%) ] and return to its former currency, the drachma.
Such a move is still officially anathema in Athens. But a growing body of economists argues that it would be the best course, whatever the near-term financial and economic implications. And now, with a referendum on the European-led bailout facing Greek voters, a vocal minority that has long called for a return to the drachma might find itself with a growing group of listeners.
A return to the drachma is unlikely to offer a quick cure for Greece’s ills. Default on the nation’s $500 billion in public debt would become a certainty, depositors would take their money out of local banks and, with a sharp devaluation of as much as 50 percent, inflation would loom. A return to the international credit markets would take years.
China Economics – 30% of Shipyards Showing NO Orders
From The Disciplined Investor
Good news and bad news. Now that China may be nearing the end of their tightening spree, news of manufacturing hitting a slump may actually be beneficial for the equity markets. Whether or not there is a new stimulus plan that will eventually be announced is hard to predict, but it is getting more obvious that the government will need to lay off their effort to slow the economy, because it is working.
Bloomberg reported on two important economic releases out of China on Monday night. China’s manufacturing activity increased in October, according to Markit. The HSBC Manufacturing Purchasing Managers’ Index rose to 51.0 in last month, compared with 49.9 in September. Another report had a bit of contradiction as China’s October Manufacturing PMI Fell to 50.4.
In fact, the Chinese manufacturing index dropped to the lowest level since February 2009, bolstering the case for fiscal or monetary loosening to support the expansion of the world’s second-biggest economy. The Purchasing Managers’ Index fell to 50.4 in October from 51.2 in September, the China Federation of Logistics and Purchasing said in a statement today. That was lower any of 16 economists estimated in a Bloomberg News survey that had a median forecast of 51.8. A reading above 50 indicates expansion.