Gold Mining

UPDATE 2:00pm EDT: Our darling Fujisan just sent me some GLD spread strategies for me and the rest of you rats:

Market Neutral position

Assumption: GLD is going through consolidation.
Stop: Above 90 or below 80
Adjustment: Close the position completely, or add 85/90/95 butterfly if it breaks above 90 or 75/80/85 butterfly if it breaks below 80.

Downside Breakout

Assumption: GLD is going through consolidation, but expecting a breakout to the downside.
Stop: Close your position once GLD closes above 90
Adjustment: Once GLD comes down to 85, start buying back 85 shorts one by one.

Upside Breakout

Assumption: GLD is going through consolidation, but expecting a breakout to the upside.
Stop: Close your position once GLD closes below 85
Adjustment: Once GLD goes above 90, start buying back 90 shorts one by one.

Mole here again: Now that’s some good stuff – you rats probably know which one I’ll be picking. Better go and get my order in before you bastards start screwing up the bid/ask spreads 😉

BWT – in case you missed it – evil.rat has been released – detailed announcement can be accessed by clicking on the image:

UPDATE 2:42pm EDT: Bonus Clip!! This is a good one:

UPDATE 2:46pm EDT: Your stochastic index grid du jour:

We’ve burned off quite some momentum here – I’m looking forward to a little bounce so I can reload 🙂

UPDATE 3:32pm EDT: Based on those candles I see the Goldman Boys just came back from their extended lunch 🙂

UPDATE 3:51pm EDT: Hehe – that’s what I thought – NQ raced up to touch its VWAP and then nothing. NQ definitely has been leading this little advance – now let’s see if there’s any meat in this or if we drop into the close.