The TSX headed lower for the second day in a row on Wednesday, slipping 59.72 points to 12,042.26, as the gold price eased and investors took in an interest rate hike from the Bank of Canada.

The TSX global gold index was the day’s biggest decliner, falling 1.7% as gold for December delivery eased $1.80 lower to $1,257.50 an ounce. 

Roger Wiegand gives his take from the charts at the end of last week and gives technical analysis and opinion on what might be in store. I take information from what Roger writes on a weekly basis. Read below what Roger has to say.

After eight straight days of gains, the TSX took a breather on Tuesday, sliding 42.94 points to 12,101.98, as the energy and financials sectors moved lower as renewed concern emerged over the health of European banks.

Ian’s Thoughts on the Inflation/Deflation Debate & Interest Rates

Jay:  Yes, there is nobody else to step in. The Japanese are there to an extent, but they also are not that eager anymore, because they have their own needs for the savings and their own aging population and so forth, right?

Ian:  Well, exactly, exactly. And you have got this ocean of debt out there, and ultimately that debt either has to be repaid or defaulted on. 

Ian on the Confiscation of Gold

Jay:  Yeah. So there is that issue, there is always that issue, and fear of confiscation of gold again. Do you have any thoughts on that issue?

I have seen small signs of hope that the rapped movement of our government toward more socialism is resulting in more people waking up to what they are up to. Congressman Ron Paul tell of the hope that Congress will wake up to the fact that Fannie Mae and Freddie Mac are bankrupt. But will the reform be any better? Ron Paul explains below.

There are many reasons I think we are on the verge of a major decline in equity prices, including the fact that September is usually one of the worst performing months of the year. But at the top of my list in terms of guidance along these lines is the work of Dr. Robert McHugh in his excellent daily newsletter titled, “Technical Indicator Index.”  

After seven straight sessions of gains, the TSX continued to climb on Friday morning, up more than 28 points by 10:15am EDT as the market took in some acquisition news from the gold sector as well as the latest employment numbers from the United States.

As Richard Russell and many other experienced market analysts have pointed out, the job of the bear during a bear market is to entice as many people as possible into his nice warm den in preparation for his next meal. Hence, markets do not head straight down.