Well, it seems like the resolution of the "fiscal cliff" crisis could be delayed some more - maybe into the end of this week as the House mulls over what the Senate passed last night. The broad stock market appears (at least temporarily) to be optimistic heading into the new year as evidenced by the strong 166 point rally in the DOW yesterday, but strong bearish technical signals also appeared yesterday in the DOW and S&P 500 indices and the overall picture of the stock market based on cycles and chart analysis is quite grim looking. I am tempted to short the broad stock market right now, but there may be a short-term rally here (perhaps into the end of the week) so we will continue to watch from the sidelines and be ready to sell short soon.
It is looking like gold and silver might also rally short-term right now, but there is a stronger bearish trend in place that will likely keep this market in a downward trend over the medium term. We will therefore continue to hold our short gold positions and still be looking to short silver soon. (Once a significant correction occurs in gold and silver, however, both metals will likely be looking very bullish.)
Crude oil is starting to look a little more more bullish than bearish in the medium to long-term time frame, but we will continue to stand aside this market until trade signals are more clear.