The panic selling of gold continued again today and the Fidelity Select Gold Fund (FSAGX, last change: -4.31%) was the worst performing fund in the FidelitySignal.com daily survey. In addition, multiple equity sectors “rolled over” in recent sessions and are in danger of entering a bearish downtrend. These events, taken together with the bubble-like rise of the Japanese stock market point to a highly unstable market environment. Unless the equity markets stabilize in the next few sessions, we see an increased probability of a serious correction or even a stock market crash.
Buy/sell signals for Fidelity funds are available at FidelitySignal.com