There is almost no reason to be long equities right now–so why have I been a buyer in the last 24 hours?

Stubbornness?  Maybe.  Stupidity?  More likely.  Or maybe just a belief that my two main holdings, EXK and VHC, are about to run–and run hard.

As you have doubtless read elsewhere on IBC, the OS signal results with silver miners, especially EXK, are incredibly reliable, and have provided nearly 100% gains when followed.

Yet my EXK purchase from yesterday is now underwater 5%.  Despite my faith in the algorithms, I couldn’t help but wonder through the day if maybe this was the exception to the rule, and I vacillated between buying more or selling it all.  Eventually I couldn’t stand watching it tick lower throughout the day and I logged off my platform (for a few minutes anyway) and resolved to HOLD FAST.

Yesterday, I did some housekeeping, dumping GMXR, (as fine a POS as I’ve seen) and MGO.TO (a close runner up) taking a 30% and 10% loss respectively for each.

The one saving grace is VHC, now a full position, which is up 5% and is ready to crack, which has lessened the sting of the other losses, somewhat.  The real question for me if EXK is down another 5% tomorrow is whether I pull a Fly and double down, or follow the more timid (and sensible) rules of risk management and sell when I am down 7%.

For now, I owe Chuck a big thank-you for the VHC tip, and am looking ahead to similar success with KS

I am flying west tomorrow, and will only be able to catch the first hour of trading, so hopefully Armageddon can wait for me to place sell orders Thursday AM…

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