Precious Metals Update

If you are a sub and have been paying attention then you ought to be short both gold and silver right now. In the past week I have repeatedly been pointing at both charts suggesting that PMs were coiling up ahead of a big move. Today may have been the beginning of just that, let’s observe:

Quite frankly that sideways triangle on gold was pretty tough to miss. We had been bouncing around the tip driving everyone crazy – and that’s usually when I start to pay attention. The lower trigger line was breached today and gold has descended to its lower 25-day Bollinger.

Now, it’s still early in the game and thus be prepared for the possibility of a last kiss goodbye reversal – or even worse a push back to the upper trigger line, which would qualify this as a fake breach. It’s all part of the price of admission – always be mentally prepared and don’t let your emotions affect your trading.

Yes, I know easier said than done – it’s an ongoing project. When you become a trader you automatically join the A.A. – the Affectus Anonymous - you can never really cure the disease and we don’t have a twelve step program. Heck, maybe I should come up with one? ;-)

On silver we had a slightly different pattern but we expected the upper resistance line to hold up. I was suggesting a short position at a breach of that 25-day SMA, which happened today. If you’ve been hanging around here for a while you may also have followed the 25-hour SMA on the left panel which was suggesting a move was in the making.

Here’s a little freebie from the equities side – AAPL is once again testing its 25-day SMA and I’m short here with a stop a few handles above. After a stop out I would not be long unless it manages to climb above the coveted 500 mark.

More charts and non-biased commentary below for anyone donning a secret decoder ring. If you are interested in becoming a Gold member then don’t waste time and sign up here. And if you are a Zero or Geronimo subscriber it includes access to all Gold posts, so you actually get double the bang for your buck.

Please login or register for Zero Data Feed (non-recurring) or Zero Data Feed (recurring) or ES Gold (non-recurring) or ES Gold (recurring) or geronimo/ES (recurring) or Zero Pimp-A-Thon to view this content.

Cheers,

This entry was posted on Monday, February 11th, 2013 at 2:01 pm. Both comments and pings are currently closed.

  • http://dartht.blogspot.com/ Darth_Gerb

    what happens when Bergamont drinks orange bud light?
    yeah…
    http://www.thewordofmatus.com/wp-content/uploads/2011/08/orange_guidos_bud_light.jpg

    (i’ll remove the comment post shortly)

  • http://ibergamot.blogspot.com/ i Bergamot

    Love it.
    please, don’t remove

  • http://evilspeculator.com molecool

    If you inverse the picture they look like smurfs.

  • http://dartht.blogspot.com/ Darth_Gerb

    dam, they are blue.

  • http://dartht.blogspot.com/ Darth_Gerb

    GLD inverted T.
     http://s12.postimage.org/hj7816v1p/fuzzy.png
    it’s fuzzy on the left, so I expect fuzzy on the right.the fibfan, something worth watching.it will hold, or it won’t.-Gerb

  • Skynard

    Short /ES @ 13, 2 pt stop. Bear flag 5 min.

  • http://evilspeculator.com molecool

    Told ya!

  • http://dartht.blogspot.com/ Darth_Gerb

    how can a blind Mole see so much!? ;-)

  • Joe_Jones

    mmm, things are starting to get interesting FX ad ES side

  • http://dartht.blogspot.com/ Darth_Gerb

    i Count 10 zigzags on the 5min chart.
    but what I can’t see is your blue arrow. ;-)

    EDIT: on second look, the whole day is a coiled Spring, IMHO

  • Joe_Jones

    scratch that. Fake move.

  • ridingwaves

    DMND short squeeze still in play, shorts are running now….

  • Pervergence

    YEN getting clobbered……s 6J   l SI  lGC

  • http://dartht.blogspot.com/ Darth_Gerb

    dam.
    http://stockcharts.com/h-sc/ui?s=$XJY&p=W&yr=3&mn=0&dy=0&id=p02300868834

    the P&F target, unbelievable – is the Pope Cath….uh never mind.

  • bdoone

    SPY: only 56M shares
    EDIT: 65M after an 8M block at close.

  • Joe_Jones

    today was just plainly stupid

  • AmazingLarry

    Forgive my noobishness on PnF’s, but AAPL is now showing 500 on a reversal, 575 on a breakout. Maybe the NDX will try to catch the rest after all? 

  • Pervergence

    Took i/2 off s 6J……will let the rest ride………maybe for quite awhile………was looking for a nicer bounce on the metals……

  • BobbyLow

    Equity Market is Deader that usual Joe.   (It’s waiting for another DOW 14,000 Celebration.)  

    But Currencies and Commodities are another story.  

    Being Long just about anything against the Yen is  sweet at this very moment.   :)

  • Joe_Jones

    True. I liked the silver move this morning.

  • http://dartht.blogspot.com/ Darth_Gerb
  • http://dartht.blogspot.com/ Darth_Gerb
  • newbfxtrader

    @sky Ha I guessed right about gold breaking to the downside!

  • Skynard

     Got crushed! Tell me you shorted:)

  • newbfxtrader

    Nah man I just got home and saw moles post. 

  • http://dartht.blogspot.com/ Darth_Gerb

    congrats! you’re getting the steak knives. ;-)

  • Skynard

     Good day considering equities went nowhere. That’s the best thing about Futures and Forex. It doesn’t matter:)

  • newbfxtrader

    Word.

  • Darkthirty

    DJI should be 1-2 with decent descent tomarrow

  • Skynard

     Would not be surprised. Did you see that capitulation move in the Yen. Most certain that was it:)

  • Darkthirty

    and the new moon on the 10th helped a bit

  • Curiousmind3861

    Yen longs seem to be stuck in the capitulation after capitulation cycle though. 200 pips rise in USDJPY in a day is the norm now

  • Darkthirty

    words, if you count them

  • newbfxtrader

    Dunno man seen that several times last few weeks. Gotta be careful. /nkd short does look tempting though.

  • Curiousmind3861

    Japanese officials said they want NKD at 13000 before Mar 31 this year. Will they get what they want?

  • Skynard

    If you decide to, wait for 11500. It should re-test, that’s the best thing to do don’t chase it. Tried shorting yesterday at the 100 and got stopped out.

  • Skynard

    I believe it, through May. No pullback?

  • newbfxtrader

    They are retarded. If their bond rates go up by just 1% they cannot afford to pay the interest. Should be fun the watch the blowup of keynesian theories. Maybe just maybe then Krugman will shut up.

  • Curiousmind3861

    most of Japanese bonds are held by its citizens. Then problem easily solved, just print whatever amount the interest on worthless paper,the way it is going, Yen will be so cheap…

  • http://evilspeculator.com molecool

    It’s going to happen but probably not until after 2016. Interest rates will only rise once economies heat up and they don’t have a choice. The Fed (on our end) will probably lag behind and once you see interest rates rise (forcibly) they will pay the price for all that printing. I expect the Dollar/Euro to lose massive value by 2020. 

  • Skynard

    Glad to take profit on /SB, retraced the entire move. Could have swore the screen flashed 18.14 while trading yesterday.

  • nitu mishra

    Here’s
    a good article on 2012 Q4 earnings outlook.

    http://tinyurl.com/yourmoney993

  • http://evilspeculator.com molecool

    ¤ø„¸¸„ø¤º°¨¤ø„¸¸„ø¤º°¨ 
    ¨°º¤  S H A K E   N ¤º°¨ 
    ¸„ø¤º° B A K E !“°º¤ø„¸
    ¸„ø¤º°¨¤ø„¸¸„ø¤º°º¤ø„¸

  • Rightside_ot_trade

    Same there was hourly and daily resistance a few points above.
    Seeing if there is a Daily RTV or FOB

  • Skynard

    Long @ 15 again




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