It’s been a week of panic in global markets, plus the latest gold and silver commercial positions.

Within hours KWN will be releasing an important audio interview! Until then…

A Week Of Panic
August 16 (King World News) – Jason Goepfert at SentimenTrader:  Based on a popular technical gauge, markets this week experienced the most panic since the credit rating debacle in 2011.

The Arms Index (aka TRIN) averaged more than 2.0 for the past week. Very loosely, this suggests that volume was twice as heavy in declining stocks as it should be, often considered a sign of panic. Four of the prior five session had an Arms Index above 1.75, reaching as high as 3.76 on Wednesday.

A WEEK OF PANIC: For The First Time Since 2011 Arms Index  Crossed Above 2.0, Hitting 3.76 Wednesday

Buying into a panic is scary and often enjoys the best risk vs reward, but also can of course be early. Waiting for the panic to ebb often leads to some short-term losses (since markets have already rebounded) but generally a higher win rate longer-term.

According to the Backtest Engine, when the 5-day average crossed back below 2.0, the S&P’s one-year return was higher 91% of the time, averaging 14.7%.

To subscribe to the internationally acclaimed work that Jason Goepfert produces at SentimenTrader CLICK HERE.

Also, here is a look at commercial positions in gold and silver.

Big Picture For Silver And Gold
Here is a look at commercial positions in the gold and silver markets.

10-Year Chart Shows Commercials Reduced Short Positions In Silver

25-Year Chart Shows Near-Record Commercial Shorts In Gold

It will be very interesting to see if the commercials have added to or covered some gold and silver shorts in next week’s COT report. For those who accumulate physical gold and silver on a dollar cost basis, continue to make purchases at the same time each month. Do not get cute and try to time the market.

Within hours KWN will be releasing an important audio interview! Until then…

A Wild Week But This Is Stunning
READ THIS NEXT! It’s Been A Wild Week Of Trading In Global Markets, But This Is Stunning

More articles to follow…

In the meantime, other important releases…

Celente – What To Expect From Gold With Global Economy Melting Down CLICK HERE TO READ

BUCKLE UP: End Game Of The 48 Year Experiment…It’s All About Confidence, More Interventions Coming CLICK HERE TO READ

Peter Boockvar – What Is Now Unfolding Is Scary Sh*t CLICK HERE TO READ

Art Cashin – Wild Futures Trading This Morning And Yesterday’s 800 Point Plunge In The Dow CLICK HERE TO READ

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