So let’s talk precious metals and bonds. Both clearly are markets which, given the unfolding train-wreck in equities, currently look ripe for the plucking. Unfortunately the Fed rate decision announcement scheduled for this Wednesday afternoon is throwing a rabid wrench wielding monkey into my operation.
Okay this is going to be a bit of an angry post but if you humor me for a moment I promise that your take away will be a few giggles plus maybe a valuable epiphany serving you well for the remainder of your existence on this mortal coil.
And this not just for when it comes to trading the financial markets, but in your private sphere as well. So do I have your full and undivided attention? Then read on:
In last week’s ‘Tickling The Dragon’s Tail‘ I mused about the possibility of a VIX Buy Signal on the horizon. Which was followed by a sideways session in the S&P 500 with the VIX actually dropping lower. At the same time the VIX:VXV ratio pulled > its upper second standard deviation and all that means that the fun and games are just about to begin this week. Confused? I don’t blame you but as usual the ole’ Mole’s got you covered:
As I pointed out just yesterday: Nobody has a crystal ball in this game, and a ‘good call’ usually is the product of ample preparation combined with a generous helping of luck (that or a source on the inside). That said – we really avoided one big nasty bear trap there yesterday.