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Monthly Digger - August, 2005


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NEM at 40 better be it for downside for now..

 

http://www.StockSharePublishing.com/ChartL..._1124735021.png

 

and XAU in the 95 area needs to move sideways....

 

probably 94.50 area more likely... hey... what does feargreed dude say?  last I know it was in the 94.50 area

 

Yep. Next fib is around 91-92. I don't like the buck down smartly and the miners flat. No.

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i mentioned on friday that i didnt think the miners had bottomed yet. still in that camp. todays action is not constructive in the very short term. i have taken a step baack. and using weakness to add. 94.8 is the 50% and that appears to be the magnet. really, this correct has not done much damage. so far. the thing is the metals have a short(in terms of time) sharp spike and then spend forever correcting. it tells me we are a ways off from parabolic moves to the upside. patience, more than is humanly possible. patience. dharma ps. i heard that trading the pms makes one into a saint!!

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i mentioned on friday that i didnt think the miners had bottomed yet. still in that camp. todays action is not constructive in the very short term.  i have taken a step baack. and using weakness to add.  94.8 is the 50% and that appears to be the magnet.  really, this correct has not done much damage. so far. the thing is the metals have a short(in terms of time) sharp spike and then spend forever correcting. it tells me we are a ways off from parabolic moves to the upside.  patience, more than is humanly possible. patience.  dharma ps. i heard that trading the pms makes one into a saint!!

 

On the sidelines now.

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i mentioned on friday that i didnt think the miners had bottomed yet. still in that camp. todays action is not constructive in the very short term.? i have taken a step baack. and using weakness to add.? 94.8 is the 50% and that appears to be the magnet.? really, this correct has not done much damage. so far. the thing is the metals have a short(in terms of time) sharp spike and then spend forever correcting. it tells me we are a ways off from parabolic moves to the upside.? patience, more than is humanly possible. patience.?  dharma ps. i heard that trading the pms makes one into a saint!!

 

a Saint Gaudens MS 64 at least :D

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On the sidelines now.

 

:(

 

I think that tomorrow will be the beginning of the move higher, and that one of the next three days will be a 8 or more point gain on the HUI, with the others being small to moderate up days. (1-4 points)

 

Possibly. If we run I'll try to catch up. There might be some more downside first. Today looked kinda weak to me. Opportunity lost is a shame while money lost is a tragedy. I'm playing it safe here.

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On the sidelines now.

 

:(

 

I think that tomorrow will be the beginning of the move higher, and that one of the next three days will be a 8 or more point gain on the HUI, with the others being small to moderate up days. (1-4 points)

 

Possibly. If we run I'll try to catch up. There might be some more downside first. Today looked kinda weak to me. Opportunity lost is a shame while money lost is a tragedy. I'm playing it safe here.

 

Obviously, this sector ain't for the faint of heart. Tight stops are not gonna make one money. Hell, we could go down 5% tommorrow, or up. Tea leaves are hard to read.

 

It will be tough to buy back in. Good Luck.

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On the sidelines now.

 

:(

 

I think that tomorrow will be the beginning of the move higher, and that one of the next three days will be a 8 or more point gain on the HUI, with the others being small to moderate up days. (1-4 points)

 

Possibly. If we run I'll try to catch up. There might be some more downside first. Today looked kinda weak to me. Opportunity lost is a shame while money lost is a tragedy. I'm playing it safe here.

 

Obviously, this sector ain't for the faint of heart. Tight stops are not gonna make one money. Hell, we could go down 5% tommorrow, or up. Tea leaves are hard to read.

 

It will be tough to buy back in. Good Luck.

 

Tough buying back in? I really don't think so. If I had positions in individual issues I might have been tempted to hold. However my constraint is I have to buy and sell the close. I also have to make my decision by 3:35 NY Time. I personally don't see this thing running away. I also don't feel the necessity of always being in the market. Different strokes. If I'm wrong I'll go with it. I have seen this pattern too many times not to get my behind to safety. We are sitting right on trendlines in the XAU and the HUI. We could break down very badly from here or not. Until I see definite confirmation this thing wants to go much higher I can watch. Some leading issues don't look too healthy to me.

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Well as of friday....

 

"Gold relative to the price of crude oil is trading at an all time low. Either gold is extremely undervalued, crude oil is extremely overvalued or both. A recovery in the ratio from 6.7 to 8.0 with a corresponding decline in the price of crude oil to $60 U.S. implies gold moving to $480 U.S. per ounce, a reasonable possibility before the end of 2005."

 

http://dvtechtalk.com/August/August22.htm

 

and today...

 

"One of the reasons for a peak in the sector at the end of September is anticipation of the Denver Gold Show. The Denver Gold Show is the largest annual gold show in the world, easily surpassing the Prospectors Convention held in Toronto. Investors buy stocks in the sector in September in anticipation of encouraging news that frequently is released at the show by major producers and explorers. This year, the show will be held between September 25th and September 28th"

http://dvtechtalk.com/August/August23.htm

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It is definitely better to be safe than sorry.

 

I guess I meant that I'm not sure that there is ever going to be a perfect set-up in this sector.

Just when you think it is dead there is a rally and when things look promising like they did a week ago, they fall apart or slowly fizzle.

 

Pretty impossible to figure out.

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It is definitely better to be safe than sorry.

 

I guess I meant that I'm not sure that there is ever going to be a perfect set-up in this sector.

Just when you think it is dead there is a rally and when things look promising like they did a week ago, they fall apart or slowly fizzle.

 

Pretty impossible to figure out.

 

I think there have been several perfect setups in the past several weeks. Another one is today. The rest of the week will be a significant move up. Its super easy. :D

 

(Unless I am dead wrong, then its hard).

 

But until tomorrow, I cant be wrong. Gold is up overnight and will stay that way, and will rise tomorrow, and this time, wont give it all back.

 

 

I'm sticking with "each of the next three days will be up, one will be up 8+ on the hui". On thursday you can either laugh at me or congratulate me.

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LT Hooey timing model remains long and ST is too close to call so thus remains long. The pattern now looks nearly identical to that of the last days of July. Thus, assuming we continue to play out (and don't break the opposite way) the 207 level should hold and we move up and away from here. Certainly if Wensday is at all encouraging the close should be bought for a possible euphoric rise Turdsday. However, if the 207 level cracks then for sure the ST will sell. If it happens tomorrow we'll begin to get that stairstepping down look which is not entirely bullish.

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