Ahm gonna take this itty bitty world by storm…
And ahm just gettin’ warm….
_______________________________________________
Just in case any of you are thinking this recent pullback has been anything but a dollar play, have a look at this piece by ETF Trader (and by extension, The Financial Times). Yes, that’s an $8 billion plus short on the Euro, and that’s only what we peons are seeing. It could be a lot worse, or it could be all for show.
What we do know is that the Euro is just another failed fiat waiting to happen. Whether it occurs before the dollar (likely) or after, they all meet the same end, in tears. Right now, the dollar is strengthening against it, after dropping to test support at the $80.09 level, and back to $80.34, after opening at $80.40.
As you know, I think anything over $80.20 is a bad sign, and that combined with the large selling on strength from Fridays trade (some $675 million in the SPYs), we may be in for testing that 1,035 level on the [[SPX]] after all. The silver stocks, after showing some promise this morning, are tipping their heads in obeisance to a further weakening in the POS (currently hanging above it’s $15.03 open at $15.11) and even the POG (currently $1,065.60).
I will be focussing on opportunistic gold plays today, as I’ve gotten quite a bit of silver in [[AGQ]] and Silver Wheaton Corp. (USA) [[SLW]] the last couple of days, and only got half my [[GDX]] calls on Friday. I’ll be looking at some of that under $41 and Allied Nevada Gold Corp. [[ANV]] on any more weakness like this morning (which I missed, dammit). I may bend for more [[EXK]] as I still have room for another 2k shares in that name.
The overall word is caution, but be ready to jump on an alert, because if Soros or some other whale wants to squeeze these Euro shorts, it’s going to be five alarm time for the PM’s. Same will be true if the Euro really cracks, although I’m not sure the effect on gold will be as harsh as the effect on my poor silver horde.
Best to you all.
_______________________
If you enjoy the content at iBankCoin, please follow us on Twitter
JakeGint —
An article for you about the new Bancor carbon credit currency…
http://www.marketoracle.co.uk/Article16870.html
Yikes, for sure, but hardly likely with the recent embarrassment of the global warming clods.
_______________
Be cautious for sure.
The Euro is getting hit now because of the very thing that should, in the longer run, be responsible for Euro strength against the dollar: The fact that Euro countries cannot independently print shit to pay their bills.
Well, kind of.
Actually, it’s getting hit because everyone thinks they will HAVE to print to save their poverty stricken (profligacy-stricken?) southern brothers.
And the Micks.
____________
Well, kind of. (Sorry, that sounds dickishly condescending.)
But much of the flight to the perceived safety of the dollar is due to the disruption that would occur if the Germans have their way and do not help the McSoutherners by printing.
What do you think that will do to the Euro? Either way, the Euro is fucked.
You need a psychiatrist, btw.
Or a priest, maybe.
For that “interpretation problem.”
________________
“Either way, the Euro is fucked.”
If you cannot discern the difference (and the trading implications) between the Eurozone imposing austerity on the spenders vs printing their way out of trouble like we’re doing, you’re in the wrong business.
Freakin’ douche bag.
LOL. I wasn’t fucking w. you, pal.
You really need some help with this anger problem.
Sheesh!
__________
And for the record– I agree the problem would be solved (for the Euro at least) if the “Eurozone” — ie, the Deutsch — could “impose austerity” on its wayward children.
Let’s just leave it at that, before you take phantom umbrage again. 😉
__________
Toys anyone? HAS, btfo
blast from the past. Used to own Mattel too.
________________
Could be a dollar head fake but I think I’d rather wait and see before doing anything.
I may be sitting on my ass for sometime at this rate.
If the dollar breaks free, it’s good till what 83?
Maybe even 84. Not good.
One bright spot… we didn’t end up over $80.50 on the DXY.
____
I rented a beat Chrysler minivan in Seattle, for a long vacation in the San Juan islands & Vancouver, way back in 2000… and this cassette was stuck in the player. My wife (now ex-wife) and hippie college friends were horrified. I played the hell out of that tape.
It’s really a hip hop classic.
There are so few and they are all 15+ years old.
_________
Dollah taking some flak, late night, and my silver’s up 31 cent. Let’s see if we can swing this, shall we?
__________
Rumour (sic) has it, that this billboard went up in Wyoming, Minnesota right after Jeremy got his iBC Christmas bonus.
_________
Dollar getting its face pushed in in early morning trading. It’s under 80 on the DX chart, which is huge.
Gold and silver up. Commensurately.
Strapping in…
___
The Chinese taking a position in GLD.
I guess their sovereign wealth fund is the Chinese PPT but they don’t try and hide it.
http://www.bloomberg.com/apps/news?pid=20601087&sid=aZ9O4lrutUCc&pos=7
Silver rocketing, up 2.2%, gold up 1.4%.
More important… gold silver ratio squeezing down — just under 70x now… lots of room to go.
__________
Dollar down 72 cents, and then the German potato munchers come out and say “Saving Greeks is Unfounded!”
Boom, dollar down only 48 cents.
Pssst! The Germans are lying!
(They have no choice, all polka band music about “austerity” aside)
________
http://www.bloomberg.com/apps/news?pid=20601110&sid=aZtsKyX2S6Ls
China Becomes Oil ETF’s No. 4 Holder, Buys SPDR Gold
Slurp slurp slurp slurp…blurp blurp blurp… ANV, GDX, EXK and GRAN-MAW-MAW — RGLD!!
____________