As America wakes, my phone, my email and my texts all started buzzing, ringing and dinging. It was like standing in the middle of a casino. Why? It's simple! Everyone wants to know what's going on with the markets and specifically, precious metals. One reader commented on my last article, Is Gold Rally Losing Steam or Building Pressure? and asked, "what do you say now?"

Let me first say, enjoy the panic. More on that in a bit but before I explain, let's revisit the gold chart as it appeared less than 3 months ago.

I would bet many are surprised to learn, gold this morning, remains up nearly 7% in the last 85 days. That still translates to a 28% plus annualized return. By contrast, the S&P is down 17%., since July 1, and down 10% on the year. Note in the gold chart, the trading gaps created by exuberant gold buying in early August. Technicians will tell you these gaps need to be revisited and filled before the bull trend can continue. To this, I think we can attribute some of the sell-off, especially for those fund managers starving for profit in their portfolios.

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By David Engstrom | September 26, 2011 3:46 PM EDT

LINK URL - http://www.ibtimes.com/articles/220089/20110926/bye-bye-stocks-bye-bye-gold-or-buy-buy-precious-metals.htm