If HUI gets down to 250 as I expect, will the herd be too awestruck by the deflationistas' omnipresent genius or the media's 24/7 pounding of the Armageddon story to do anything about it? I will reload ousted gold stock positions (still holding significant exposure) at that no brainer level. You do as you must do, after all it is your money.
In a nod to the bullish side, I reestablished a position in FTEK (in which I had taken a 50% profit off the bottom) and bought old economy stalwart MSFT for a trade yesterday. But it is the gold stocks that represent the real action.
The dollar has been used like a $2 whore and tossed aside, is now looking for support and will likely resume its downward trend soon enough. Your monetary authorities are at the controls of a stock car spinning out on a hair pin turn. It is a joke in the extreme, but it is a joke that can make us 'munny' if we remain calm and analytical instead of emotional and skittish.
Edit (10:40) Dear subscribers, just a heads up... that Ecuadorian gold miner highlighted in NFTRH11 is up 47% today on a pullback day in the sector. I don't see any news other than yesterday's mine commissioning announcement. Tip of the hat to Otto Rock for this one. I am not sure whether I am going to sell here or not, but if you bought and if you are a profit taker, well... ;-) Edit (3:44) Sold 30% of my shares at an 80% profit and holding the rest for now. Thank you Otto. PS: HUI is coming in nicely toward our 250 target. A subscriber remarked at how quickly this is happening. I say, would we expect anything different in a manic casino where officialdom is pulling very dangerous levers (monetizing the long bond and lurching toward the USA as global debt deadbeat)? Dollar manic up... dollar manic down. Just as we watched for a dollar decline we watch for an upward correction. The dollar however is sickly for the intermediate term and even its previously pristine (to a we bottom feeders) monthly chart has incurred some damage, throwing some doubt upon the deflationistas longer term.
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