_________________________________________

Unfortunately, above-noted  Joyeaux Bivalve was closed this evening, despite their advertising paraphenalia claiming “Open 7 Days!”  Maybe that meant seven days in July, I dunno, but the only thing we really missed out on were the blueberry margaritas (or maybe I should say Mrs. Gint and her sister missed out on them), as we had a fine repast at a low key little dining joint called Farmer’s.  I had the blackened haddock and it was eggsellent.  Tomorrow night, it’s oysters from a famed Maine bay, and then perhaps to the joint Monsieur Le Fly has recently recommended to us.

We did see the last Harry Potter tonight with the older kids and I have to admit it was a disappointment.  I’m not as big a fan as the Mrs. and the boys are, but even I could tell they threw away much of the story in exchange for more whiz bang effects.  I’m disappointed in Ms. Rowling for having allowed this.   I remember from the book that the “King’s Cross Station” scene was of high importance and I have to say they screwed that scene right up, opting to keep the Headmaster as the winsome but cryptic soul rather than the more Gandalfian parent he’d become by that point in the arc.

No worries, I’m fully confident that son #2 will engineer the re-make perfectly in 2031.  He’s already framing his shots.

Nothing much tonight on the stock front I’m afraid.  I sold a little AG today  at $24.04 to “take some off the top” so to speak, as gold and silver are racing ahead at breakneck speed.  I still have oodles.   Of course, it looks like the “regular market” is seeking a crash zone, so I would be loathe to advise you to grab any PM picks tomorrow at least.   However, if the market does sell off again tomorrow, I’d bet dollars to doughnuts there will be some nice entries available to you all.

Best to you, and don’t be shy about leaving a question while I’m on vacay — I tend to check in during the day in between kayaking between ice floes and harpooning grey whales.

 

______________________

 

Comments »

Otto’s Family Picture

________________________

Today was a significant day for the silver miners. With the death of Prince Otto, the word was sent by carrier pigeon to Mr. Bilderberg and the Illuminati that they could once again indulge in the precious metal trade.  Obviously they took that word to heart, especially in the silver section, with the more sedate Jacksonians like SLW and PAAS up 6.26% and 3.20% respectively, and the silver miner ETF– ticker symbol SIL— up 4.29%.

Even more stunning were the pocket rockets.  Of course the double raw silver ETF, AGQ, was up almost 10%, but some of the small miners did even better. My second largest silver holding  EXK, was up almost 12%, while AG and MVG were both up over 8% each.   Even ANV, the  mercurial Jacksonian gold stock, got in the groove, with a move of over 6.72%.

Even more promising was the chart damage today’s moves did on the silver bears.  AG is the cleanest example:

EXK had a similar breakout today:

I love how these rockets are leading us up like they usually do.  I am not, however “all in,” yet, as the $HUI continues to bedevil me by refusing to resolve itself.   The 50-day still remains a micro-hair above the 200-day EMA and they are flattening to a needle point.

My one consolation is that we’ve finally closed above both key EMA’s at $528.42.  That’s noteworthy, since we haven’t been above either one since early June.  Stay tuned tomorrow for some follow through.  I may even expend some cash.   I’m looking at EGO and CDE to continue moving higher tomorrow and to the end of the week.   My top pick for tomorrow, however, is GPL.

Tally ho!

__________________________

Comments »

[youtube:http://www.youtube.com/watch?v=W773ZPJhcVw&feature=related 450 300]

_____________________

Flying around the Central Mitten today via large American Sedan, one cannot help but be astounded by the plethora of funnel clouds in so many seemingly peaceful rural burgs these days.  If Mother Nature cannot leave lie a town known for 361 days of Christmas (despite its Mary Shelley-esque name) and not one but two Wiener Schnitzel Emporiums, then I just don’t know what the world is coming to.  I tell you, if this road trip gets any more adventuresome, it may take me four days to hitch hike from Saginaw all the way home.

Things were no less tornadic in the precious metal miners markets today, with that rally off support finally coming through for us:

Even more mucho blasto than Baby $HUI, however, were my faithful Jacksonians, with SLW, EXK, ANV, PAAS, SSRI, EGO and even TCK up anywhere from 5% to 9% today.

And not to be overly boastful, but I thought it quite shiny that my final call of yesterday’s post — that laggard AG would catch up to it’s brethren in rapid fashion — came through like a dolorous Dakota Fanning in a crying scene, to the tune of almost 11% in cash gains.  Note the chart, and the accompanying caveat:

Note well my easily excitable Adderall dependents — one strong day does not a rally make.  As you can see above, many many of our Jacksonians are banging their heads on 20 and 50-day EMA’s.   I would not be surprised at all, therefore, to see a pullback from these levels, and perhaps one all the way back to the 500 level on the Baby $HUI.

Most likely we’ll see the most trouble at the old breakout line on the $HUI — at $519 give or take a smidge.   Be aware of your levels and do not get caught flat-footed.   In the meantime, silver still looks like the recovery drug, although traditionally hot money gold plays like ANV (up 8.83% today) are coming in close behind.

Be safe out there, and keep your helmets on.

________________________

Comments »

 

________________________

I say something like this at the bottom of many a PM cycle, but this time the opportunity is so doggone delicious, it merits a special graphic. 

Don’t worry, I’m not going to beleaguer you with multiple charts tonight, as today is a travel day and I’m beat like an unwashed fifties-era poet.   Let this one suffice, as it is, after all, my favourite stock in the PM universe — SLW, Silver Wheaton.   And you luck-dawgs have been able to grab it a deep discount as of last week.  Who knows? You may even be able to get a bit of a re-touch this, week, but alls the better…

What I really wanted to point out was the rarity of this cycle low, and it’s attendant rewards.  Have a look see at what SLW did the last time it came this close to touching it’s 200-day EMA:

That’s right, there was a 59% move up from the last lows to the next sell off, and even more after that selling consolidated at the 50-day EMA.

Now here’s the even better news… SLW’s more volatile brothers, EXK and AG had even greater surges after their most recent visit to the deep lows.   For EXK, the move was from approximately $5.50 to all time highs of $12.50 — an 127% move, while AG took it’s last deep cycle lows of approximately $10.50 to almost $27.00 — a 257% increase.   Keep in mind that these more volatile juniors will be more painful to hold over long periods of time.

Nevertheless, one should learn to live with such fruitful pain.

_________________

Comments »

______________________________________

I have my 5-year old to thank for giving me the Derby winner on Saturday.  He liked the name “Animal Kingdom,” so we played him across the board.   I must say, however, that I  attribute my choosing the second place winner, Nehro, in the exacta box parley (paid $330)  to my chance conversation with Nehro’s trainer, Steve Asmussen, in the Dallas airport after last year’s Derby, which ended with my decisive judgement that he was “a good guy.” 

So you can see, there’s a lot of science that goes into these Derby picks.  It’s quite amazing.  But truthfully, Animal Kingdom is a noble beast, second only perhaps to officially endorsed iBC show horse Banned, who won decisively the day prior.  Read more about Animal Kingdom here, and cheer him on for the Preakness, won’t you?

________________________

For those of you who hoovered silver with abandon last week, God bless, am I with you.  We will know relatively quickly whether or not we’ve made a wise move “buying the blood.”   My aim is to dump a lot of the AGQ I purchased last week on a break back above $40/oz. or perhaps earlier if the situation warrants.    I think there’s significant chance of a retest of last week’s lows, however, before that happens.  In fact, I would welcome a successful retest as a sign of a more healthy bottoming from this recent artificially created sell-off.

But let’s be limpidly lucid about what happened last week.  There were a lot of cowboys knocked off their horses.   Whether that was a move by the big boys to clear the decks for further ascent — or at least for proper physical delivery — will be apparent by the end of this month, and perhaps even by options expiration day.  

In the meantime, I stand with some dry powder left, but a much smaller amount than at the beginning of last week — less than 10% of my total portfolio.  It’s unlikely I’ll be purchasing anything new unless I see something just ridiculously mispriced in relation to the rest of the market. 

Let’s see what Monday — and the London bankers — brings us.  Carry on.

___________________

Comments »

________________________________
The Goonch will speak now, and you will listen…

Mr. Jake has gone for his annual Feast of Bipeds Cheering for Quadrapeds.  Let me explain.   Mr. Jake goes to get drunk and forget about life for a while. (The Goonch heard these words from a magic box that was crammed with singing humans.  The magic box was owned by two fat fisherman who once were noisy above Goonch’s sky, but now make no sound in the Goonch’s belly.) 

The Goonch is cross with Mr. Jake.   Mr. Jake goes to watch delicious healthy quadripeds with funny names run around in a clockwise circle while he cheers and sips brown crazy water.  The Goonch feels this is a tragic waste of healthy delicious quadripeds and would much rather Mr. Jake lead said delicacies down to the shores of the Ohio River where the Goonch is waiting patiently.

No matter, the Goonch’s belly is full this day, anyhow.  Many many piles of silvery and gold pastries were strewn about the Goonch’s lowland parlours and the Goonch did not allow those opportunities pass by uningested.  Restraint is not the Gooch’s bag, for the most part.  

So today, the Goonch supped well on AGQ at $232.66.  It was delicious, if filling.  He also had his fill of AG at $17.47, and SLW at $36.30.  On the gold side, the Goonch was grateful for the bits of ANV floating at his meridien at $36.05.   Most propitiously, The Goonch was grateful also to chance on some scrumptious EXK at $9.56, between his usual fare of drowned puppies and kittens.   The Goonch thanks all dumpers, large and small.

Be assured, the Gooch still has ample appetites, and if you refuse to bring your small children, or your healthy brown quadripeds close to shoreline where I might show my lip, then I will be pleased to ingest more silver-that-is-not-fish. 

Most corpulent good health to you all.

______________________________________

Addenda:  For those of you fretting about the CME increasing margin rates on the silver markets, I again ask you — why do you think they are doing this?  As the most astute Jesse from Jesse’s Cafe Americain points out — why didn’t they raise margin rates during the dot com bubble, or mortgage rates during the real estate bubble if they were so concerned for investor’s safety?  Is the CME some sort of sainted brotherhood looking out for the small investor?

Ummm, no.   As I’ve mentioned on these boards before, and Jesse, to his ever-lovin’ credit independently corroborates, it looks like those sneaky bastards are running out of silver.  

I just found Jesse’s blog tonight, while researching this unprecedented fourth (no! 5th!) margin raise in two weeks by the CME.   Tell me — who acts this crazily expeditious in such measures?  Can you imagine the Fed raising short term rates four (strike that, five!)  times in two weeks?

Is this not a sign of panic?  Occum’s Razor,  my friends, shave with it!

_______________________

 

Comments »