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Some days, a number of small items conspire to move prices of gold and silver one way or another. naturally, since we are now in a short trade, we want to see gold move down. It did not deign to convenience us with that kind of action today. A bundle of smallish reasons led it in the other direction.

First, there has been some haven demand on the fighting against ISIS, albeit there is little chance this can be a huge war for modern countries. There is also some distant thunder again about Ukraine, a tentative ceasefire barely holding together.

Bigger news has been coming out of China where finally - as we have been saying for the last six months - the economic picture is not quite as rosy as it once was. And, the bum housing shoe has yet to drop in the world's alleged second-largest economy. We do know China creates a LOT of pollution, and, as in all industrialized nations there is an actual cost associated with bad air, water and soil.

The China news has been giving Wall Street a small fit, dragging down equities. On a counter note, the opening of Alibaba has dragged money out of small caps across the globe as those who trade along the bottom (and no disparagement is meant) are seeking bigger, faster action.

Yet, the S&P 500 seems also to be finding some drag on the train of its gaudy gown. There are a number of reasons for that, which can be capsulized quickly by saying that banks and insurance companies, which have been leading the S&P higher, are growing wary of growth at any price. The mere threat of a new regimen to make sure that American corporations pay their legal share of taxes is also rattling some cages. What are we going to come to? No one from top to bottom wants to pay taxes.

There was also continued bargain hunting in gold, short covering and a general pause in the decline we've seen over the last number of weeks. Is this temporary? Let's take a close look at the technical charts.

Finally, a dollar, which had jumped up on the Scotland vote, is showing some fatigue against the euro and the pound.

As always, wishing you good trading,