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The other night I saw the Fly
And Jeremy and Chuck Am I.
Chess and Wine and Gappy Too
(Might sound like three, but only two)
Woodshedder bedecked in denim
Scotty with lovely wife, God bless’im

Cain Thaler came on wheelchair made
of Bamboo- wire and cut jade
Ancient even past his years
He breathed blue smoke and shed dry tears
For Detroit his home benighted so
By corrupt gov’t and cold grey snow

Fly made toasts to kith and kin
Whilst Jemmy’s stomach near augured in.
Gapp and Chuck, wolfish rakes
Assessed the women (even Jake’s)
Yet stayed their hands and played the part
Of gentlemen, with Gentle Heart

RC of course, the Silent Giant
Hove to the table, his palette pliant
Without his better half’s restraint
Drew ample beverage, drew ample plate.

One party missing, and well missed
The liberal heart, whom Nature kissed
No Cronkite and no Greenman showed
To plead ‘gainst MONstah, and for “O.”

Alas!

Progenic duty stayed the bars
(And further frolics with cigars)
Sent “the Jakes” home by one AM
Whilst Friends of Fly (and Chess and Jem)
Went forth with blessings from us both
For IBC, for friends and “Growth.”

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Someone claimed I haven’t posted in two months! Calumny!
It’s been a mere one month. It’s only seemed like two in our accelerated world. Things have slowed, or blowed, or both, and I won’t bore you with details, but I should be able to post somewhat more often, at least in August.

Did I mention I had to cut my vacation short and come home three days early? Yeah, I know, boo hoo, at least I have a job, right? What right have I to complain when this is the lot I’ve chosen? Right. None.

Meanwhile, while I’ve been resting my keyboard, the silver markets have begun to show signs of life again. If you are not in EXK and AG, you’ve still got time, but probably not a tonne of it. Likewise SLW which had a nice move today. Dollars to donuts the lesser bodies like MVG and SSRI will also begin to rise alongside the champions. Like usual, the real moves will be made in the Fall for those stocks, but it certainly wouldn’t hurt you to start accumulating now. As usual, SIL is a great “combinator” if you don’t want to agonize over the usual suspects.

Gold stocks have become almost too annoying to mess with on the individual side, so outside of RGLD, and maybe AUY, I am not going to recommend you dabble in anything but the ETF’s like GDX and GDXJ.

Before you ask, yes, I still own the rare earths (QRM and AVL, especially), despite their declines. I just add more on whims. What the hell, they are popcorn cheap and I am quite certain they will Bela Lugosi when the dollar heads down one more time this coming Election Season.

What’s got me in “near term buy” mode however, are a couple of stocks I’ve owned for a while that are showing nice promise right now. One is nat gas former superstar ECA, which looks beautiful, especially on a pullback to the $21.00 range. Another is PSX, which I “inherited” when it spun off of COP, back in April (COP being one of the Samurai Seven along with fat dividend gold stock AEM, which has also risen from the grave as of late). And along with PSX, I will take some HFC, another refiner. I like them both at $38 if you are looking for a buy range.

I will endeavor to be more faithful to you my friends. The spirit is always willing, as you know… the flesh? Well…

Slainte.

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[youtube:http://www.youtube.com/watch?v=0fSEjlLQcRY 450 300]

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The dollar’s off 70 cents as I type this, down below $82 again to a low we haven’t seen since mine and the Fly’s birthday on the 25th of last month.  That “chuffing” sound you hear is Ben Bernanke’s magical reverse vacuum blowing hundred dollar bills at Spain by way of behind the scenes European central bank bailout transfers.  $125 billion you say? It’s a mere bag of shells when one can print up one’s own constantly deflating sovereign currency in a zirp atmosphere.  Isn’t this fun?  Why didn’t Japan think of this??

Anyone else getting the hard stuff while it’s cheap?  Take a look at my two “T’s” — TKC and recently murdered TC for a flyer.  Of course I still love BAA, but ANV is looking very tasty and has RGLD ever really disappointed you?  On the silver side, it’s broken record time again… AG, EXK and SLW remain the nobles.  PAAS for a flyer. For those with less time, GDXJ and SIL are the ETF plays for now.

I had one of the worst Friday’s in my career this past week, dealing with a very large dollar client issue that one would have to hear to believe.  One thing I can say about my industry, there’s hardly ever a dull moment.  You guys think trading stocks is a bitch?  Try something more illiquid next time…

Best to you all.

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What’s that sound, you say? Those of you with extremely sensitive hearing probably heard a dog whistle this morning, after the absolutely execrable unemployment numbers came out. Given that the increase in unemployment, the lack of job growth and the near-frozen economic capability of our scared scat-less private sector leaves the Powers that Be with very little in the Hope and Change department, the only remaining response is a toot on the dog whistle.

And who’s that St. Bernard that’s come-a-trotting with a big barrel of printer’s ink secured beneath his hairy jowls? Why that’s St. Ben-ard Bernake!   He knows that there’s no FacePlant Book rally coming to secure the 2012 elections and therefore his place on the Iron Throne of Westeros.  So the only other plan to help us out here is to pump the press and let the liquidity flow.  Heck, what are you going to do, anyway? Buy Euros??

No, but there’s always RGLD, GDX, GDXJ, SIL, SLW, EXK, AG, ANV, IAG, and of course, BAA.  Tons of other “beaten downs” as well that will make someone a lot of money, but as you know, my time here is limited.

Go out there and feast.  It’s Printing Day.

Best to you all.

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Ladies and Germs I love it when my pain becomes your gain, and thanks to my “way too early” entry back into the precious metal miner market with both hands full of ham, you more cautious readers will have the opportunity to enter into the severely beaten-into-disability gold and silver miner market, which we’ve always characterized (lovingly) as Baby $HUI. One can best participate broadly in this market using GDX and SIL (and to a lesser more risky extent, GDXJ).

I am hoping the following chart will show up, as I am posting it on the rogue computer, but if not I encourage you to look at the twelve year monthly chart for $HUI, which limns the extent of this current bull in both gold and gold miners:

Note how we are oversold to an extent not seen since the beginning of this very bull… in fact, to an extent even deeper than in late 2008! That’s pretty incredible folks and indicates a strong ability to bounce hard here, provided that long term bull line holds.

Now I do expect we’ll get a pullback and maybe even two from this strong resurgance, as the various bottom scrapers and chicken littles bail with a quick profit, so be cautious. Go small here in this first wave, no matter how tempted you may be to go all in. You should have plenty of opportunity, all the way to the $500 mark and maybe even $520 on the index.

Best of luck and fortune to you all.

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Yes, that’s me, under the stone, there. Actually, it’s what’s left of me after I burned up in a fiery husk doing the classic “buy at the bottom” move.

Now I just sit and wait as I watch my accounts draw down. Luckily, I don’t need the dough right now, so I can afford to play the longer game here. I still have about 10% cash left after deploying into a number of bounces over the last two weeks. I think those bets will pay off in the near term, and I may even take something off the table as a result.

But things continue to be insanely busy here, so one solace is I can only look at the market a couple of times a day. Yesterday, I had two sit down lunches with two completely different parties. Usually I can schedule around anomolies like that, but in this case, I just could not, and had to take both meetings.

Last week, I had to take two separate simultaneous conference calls. I’d never done that before, and last week I had to do it twice. Do you know what the level of difficulty on such a stunt is? First, you have to have the right equipment. In my case, I had my office phone on speaker and my cell phone in an earpiece jack. While simultaneously listening to both calls (one of which was playing in my right ear), I had to be able to “respond and mute” at a moment’s notice in order to speak to one or the other respective parties. I felt like a schizophrenic dj at a retro-70’s disco party.

I am looking at some long term charts right now, and $HUI is approaching a ten year monthly line right now (about 350) that looks like good support. But we can bounce at any time now, as we are ridiculously stretched below the 200 day EMA (almost 26%!!), and that means we are getting stretched to the utmost…

Hang in there, my friends. My next post will feature a phoenix.

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As some of you know, I’ve been weathering this storm by deploying cash sparingly into what I consider to me vastly oversold conditions in the PM markets, especially the miners.  Given historical metrics, the current $HUI and $XAU are pricing gold in the $800-1000 range.   Needless to say, this has historically been an opportunity for those beleagured names.

Now I know the PM space has not been a happy one as of late, but given that nothing has changed with respect to the global liquidity situation, I am not convinced that there is some change in the current bull trajectory afoot.   It appears that we are now approaching a long term support area as well.

As my good friend Gary Savage over at the Smart Money Tracker has been kind enough to point out, the 75-week simple moving average has been support for this bull for over ten years now with the brief exception of the 2008 meltdown, which marked the bottom of an eight year cycle event.   Right now that line lies at $1591 an ounce, which we are (briefly, I think) below this morning .  As a result, I think this is the time to mince into the market and make some quick coins.

I was not in the office yesterday, so I did not report my buys in SLW and AEM, and I apologize.  It appears, however, I may have been a bit early.   Today, I will add to those small purchases and throw some RGLD and perhaps even GDXJ in that mix.   Make no mistake the juniors have been murdered here, and quarts of my blood are being transfused into them as we speak.   When these things bounce, however, it’s going to be swift and eye-boggling.   Go small until then, but be ready, as I think it’s going to be very soon….

Until then, I continue to be your honarable blood donor, down here at the Red Cross…

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