David Fuller's view

Gold bullion remains weak, having fallen back to its June and December 2013 lows, only this time it is less overextended against its 200-day (40-week) moving average which continues to decline.  Gold also shows lower rally highs within the current range, providing further evidence that sellers have the upper hand.  Therefore, a very clear upward dynamic is required to check this slide, similar to the big blue candle in July 2013 and the upside weekly key reversal following the December low.  

If you monitor the gold market, you may also have some thoughts on the conjecture in this article: There’s something fishy going on in the gold market, by Bengt Saelensminde for MoneyWeek.

Brent Crude oil remains in an extremely consistent downward trend and is approaching an area of previous support in mid-2012.  It is becoming overextended but a clear upward dynamic will be required to indicate that selling pressure is abating. 

I have described the Russell 2000 Index of smaller-cap shares as the ‘canary in the coal mine’ for Wall Street, as it indicates deteriorating market breadth.  RTY has now formed a lower high and a lower low within this trading range of almost a year’s duration, indicating that supply has now gained the upper hand.  The MA is also beginning to turn downwards.  Consequently, a clear upward dynamic is required to delay at least the prospect of top formation completion.