An excerpt from Yahoo:
The manic ride of silver, continuing its recent slide today, could be an indication that there’s trouble ahead for the stock market, says Todd Harrison, founder & CEO of Minyanville.com and author of the soon to be published The Other Side of Wall Street. “There are a few key takeaways here,” Harrison tells the Breakout Brotherhood. ” First, volatility of this magnitude is not positive, and second, commodity volatility typically precedes volatility in stocks.” Of course, Harrison’s call to short silver was done in plain view more two weeks ago in a Minyanville post; he’s not claiming victory or a top in silver but rather that the poor man’s gold simply looked to have gotten ahead of itself. “Silver is an unintended consequence of the synthetic sweetener —- or whatever you call it —- that has been injected into this marketplace,” Harrison says, adding that “commodities have never been a safe haven over the long term.”
The last line implies that being long only or buying and holding commodity futures is a strategy. Commodity futures traded with trend following have been one of the best trading methods developed–ever.
