Precious Metals finally had a day of liquidation as Gold was down $25 and Silver down some 20 cents on Friday as investors took profits as the Euro lost more than a penny and a half after reaching $1.4150. The Euro now trades at $1.3840 and Gold down even more to start the week at $1,360. I think it looks like any rally for right now should be taken with caution and even sold some in front of the $1,380-$1,400 level. I believe this market needs a healthy correction down to $1,300 before making a charge back up. The Euro should continue to weaken after going literally "straight up" the past month and a half. This will lead Gold back down to $1,340.

Copper trending lower as well on the COMEX as last week settled in front of $3.88 and looks to take profits as well down to the $3.75 level. The S&P started off the Sunday night session weaker with Copper below $3.80 so I look to sell rallies in the mid $3.80's this week. I believe that this whole market needs a healthy pull back in the S&P, Euro, and other commodities and Copper will follow suit. I am looking to play some OTM puts here to get in position to potentially benefit on the downside.





..