Scott - I planned to exit my gold shorts entered Monday by early a.m. today with the plan to reenter short for a multi-week trade. I executed on my plan by closing shorts at the open. 80% of the short $ were in NEM & AU.
For background, I mentioned earlier that this gold short was 4% of my equity allocation, and my equity allocation currently is 1/2% of my trading portfolio. Just so posters know what money management was behind this gold short.
I am still looking to reenter gold short on the current countertrend recovery bounce unless the intermediatedowntrend in gold stocks reverses with conviction. I am seeing this recovery bounce as an opportunity for short entry. Just my take. Just making a trade using stops and money management, nothing more.
Taking out the Feb hi in NEM and AU will cause me to rethink above.
Gold Stocks - Outlook
Started by
mss
, Mar 03 2004 05:59 PM
32 replies to this topic
#31
Posted 04 March 2004 - 05:10 PM
#32
Posted 05 March 2004 - 07:33 AM
We could get a "dead cat" bounce today, but for it to be more than that a POG close above $397GCJ would be needed and a April furures above $403.80. Also NEM would need a close above $43.92. HUI would need to close above 227+ and hold for 2 days. HUI 21ema is below the 55ema and should cross above for us to have anything more than a short "pop".
My thoughts , could be wrong, have been before and will be again mss
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A DOG ALWAYS OFFERS UNCONDITIONAL LOVE. CATS HAVE TO THINK ABOUT IT!!
A DOG ALWAYS OFFERS UNCONDITIONAL LOVE. CATS HAVE TO THINK ABOUT IT!!
#33
Posted 05 March 2004 - 11:50 AM
That gap up this am on the XAU looks like a little island reversal there. Personally, I think gold bottomed this week at $388 and the indices have put in their lows in Jan. Wave 3 up started this week for the XAU and HUI for the next leg up.
I'd also add that a close above this 100-102 level is bullish for another run at the highs on the XAU. Disclosure: I'm really long PMs.
cheers,
john
"By the Law of Periodical Repetition, everything which has happened once must happen again and again and again-and not capriciously, but at regular periods, and each thing in its own period, not another's, and each obeying its own law ..." - Mark Twain