Some thoughts from Trader Dan:
Trader Dan:
Post Yellen = Confusion
Posted on August 28, 2016,1:09 am by Trader Dan
Yellen seems to me to be mastering the art of saying things so that everyone can come away hearing what they wanted to hear.
For those concerned about the Fed leaving interest rates too low for too long, she adopted a hawkish view on the economy, particularly when it comes to the payrolls. For those thinking that any Fed rate hike would send the Dollar soaring, pressuring Emerging Markets as well as equity markets both here domestically and elsewhere, she sounded the theme of interest rates remaining low for a long time. Thus, if the Fed were to hike sooner rather than later, no need to worry because it would not signal the beginning of a rapid series of rate hikes.
That hedge fund net long position still is looming over this market and if that bottom of the range near $1311-$1312 gives way, you will see some pretty heavy long liquidation by that group as the technicals are turning soft and they will not stick around for long if that continues.
https://traderdan.com/?p=13383
A teaching moment on the nature of the gold cult
Posted on August 26, 2016,11:46 am by Trader Dan
I wanted to share the following chart with the readers because this is perhaps one of the clearest examples that you will see of what I call, “selective outrage” on the part of those whom I have dubbed “the gold cult”.
By “the gold cult” I am referring to those websites and gold promoters whose view of gold is that it must always go higher in price and when it does not, it is because there are “sinister, evil powers” at work who are “manipulating its price” and preventing it from rising.
Just this week, we watched gold experience a sharp selloff on Wednesday. Almost immediately, the gold cult websites (Zerohedge is their leader) were out with their breathless denunciations about “sellers smashing the gold price by dumping huge amounts of gold within minutes”. They went on to say that “No seller attempting to maximize their profits would sell in this fashion so clearly it was a takedown attempt on the metal by its foes”.
Note well – the complaints were all about the HUGE VOLUME involved in the selloff and that was pointed to as the proof that this was a blatant takedown attempt.
Check out this chart with that in mind.
Notice the massive volume surge involved in today’s “Yellen induced rally”. It absolutely DWARFS the volume during the down move on Wednesday.
How much would anyone be willing to wager that we will not hear one single complaint about this – “No BUYER, attempting to obtain the best possible price for the metal would be so foolish as to buy in such size that they force the price higher, running all the upside buy stops and guaranteeing that they will have to pay higher prices. This was an obvious and blatant manipulation effort to mark up the price of gold by these evil, nefarious forces”
https://traderdan.com/?p=13365
http://stockcharts.c...838&a=473521763
http://stockcharts.c...499&a=473521563
http://stockcharts.c...687&a=473723580
I like to VST and ST trade JNUG and NUGT.....
I'm long MT GDXJ.....
http://stockcharts.c...506&a=474612891
http://stockcharts.c...218&a=473521614
Edited by robo, 28 August 2016 - 12:16 PM.