ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
Why streaking silver now seems shaky – precious metals – Bill Fleckenstein Yes, silver could double over the next couple of years, but it is quite possible for it to drop 20% in a short stretch along the way and have that be nothing but noise. With silver, even more so than gold, it pays … Read more
What has changed in the two months it took for silver to stampede its way up $15 (a 43% gain) and back? Did the Federal Reserve raise rates? Did the Federal Reserve threaten the market with rate hikes? Did the housing market rebound sharply, generating an expectation for higher rates? Did inflation expectations adjust sharply? … Read more
Today, Pan American Silver Corporation (PAAS) issued a press release confirming my earlier assumption that its mining operations in Bolivia would not be impacted by the Bolivian government’s efforts to further nationalize its resource industries (see “Despair Deep in the Silver Mines: Another Opportunity to Buy Pan American Silver“). “On May 1, Bolivian President Evo … Read more
With the S&P 500 hitting fresh 3-year highs this week, the index is poised to recapture the previous uptrend that was interrupted by March’s double calamities of the Japan earthquake and hostilities in Libya. The stock market is overbought with T2108, the percentage of stocks trading above their respective 40-day moving averages (DMAs), at a … Read more
Gold Luring Central-Bank Buyers May Extend Record Rally – Bloomberg Central banks that were net sellers of gold a decade ago are buying the precious metal to reduce their reliance on the dollar as a reserve currency, signaling demand that may extend a record rally in prices. (tags: gold monetary_policy central_banks) Adjusted For Inflation, Dollar … Read more
Buyers Beware: Silver Crashed 11% in 24 Hours – CNBC Shortly after the start of overnight trading at 12:10 a.m. on Monday, silver futures surged to a multi-year high of $49.82 per ounce. Nine hours later, by the start of stock market trading in the U.S., the May Silver contract was down eight percent. Shortly … Read more
Excerpt from an article I published on Seeking Alpha. Click here to read the entire piece (embedded video only here): Five years ago, I wrote an article titled “Despair Deep In the Silver Mines” to describe the sympathy selling in silver miners that owned property in Bolivia after the government there declared it would nationalize … Read more
I have watched the rare earth (RE) space with a lot of interest over the past 7 months or so. It is an industry where technical knowledge very often translates into effective investment action. I have been very fortunate to have a good friend, whom I consider to be a rare earths specialist, flood me … Read more
Tuesday’s expected gap down and steady buyback created a LOT of amazing charts. Many stocks I have reviewed bounced with picture-perfect accuracy off key support levels like 50DMAs and 200DMAs. The chart of the dollar index also caught my attention (as it so often does). For the past two days, the U.S. dollar has clung … Read more
After falling as much as 15% this year, Goldcorp (GG), my favorite way to trade gold, has shot up 20%. The move through February was almost a straight line and the stock moved particularly strongly last week. *Chart created using TeleChart: While I sold the last of my trading positions in GG last week, this … Read more