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Curse the Gods of the Precious all ye may, unbelievers and heretics of the Vixx Vapo-Rub-TLT Coalition!  Ye shall not daunt me, nor my precious ego.

Or should I say Eldorado Gold Corporation (USA) [[EGO]] ? For like Allied Nevada Gold Corp. [[ANV]] , IAMGOLD Corporation (USA) [[IAG]] and many of the components of [[GDX]] , my massive EGO made a doji high hammah (or whatevah) on strong volume today, indicating their are dip buyers and accumulators galore interested in the safety of these miners and their precious byproducts.

Lookee, here, soldier, and note ye the last two days of EGO-centric action after the recent breakout:

Not bad action on almost double average volume on a down day, no?  What’s more, in after hours, the stock was even green by a tad, much like Goldcorp Inc. (USA) [[GG]] ended the day today.

As for the dollar, it strikes me that it’s at least temporarily peaking out, with the 50% fib line fast approaching on the weekly chart, and on increasingly lower volume.  I think [[UUP]] may touch the 50% mark at $24.43, but I think the dollar retreats soon thereafter.  Note:

Which is why I believe we were seeing all these PM and PM miner dojis today.   Howabout that?  Get on, or dance the Hugh Hendry in chagrin.

Best to you all.

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Yeah, the dollar is up, but so are the precious metals, so go figure.   It’s not often you see [[UUP]] riding an updraft right along with it’s mortal enemy, real money in the form of [[GLD]] and [[SLV]] .  

What’s going on?  Well, I’ll tell you what I think and it’s just a theory… but I believe the Euro is headed for a bad night with the Reaper, and all the printing presses in Frankfurt are better off producing saurkraut than Euro-denominated debt to back this Grecian salvage job we saw today.   

I’m getting major deja vu, ovah heah, and maybe you are all a tremble with it too.  Remember when the gov’t stepped in and demanded that Jamie Dimon save that piece of rat’s offal, the Bear Stearns Company?  And then soon after, it became impossible to save Lehman Brothers in turn, despite that latter bank’s greater importance to the capital markets’ zeitgeist?

Well, I’m thinking we are going to see the same here with Spain and maybe even Portugal and Italy lining up at the Eurotrough, if this most recent Moral Hazard Play works it’s way out in similar fashion to that of our own Wall Street bank collapse fiasco in 2008.  

 I mean, why stop at Greece?  That is, unless you have to?

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That said, there are havens of safety and they are in the leaders.   One such King Kong in the precious metal space is Allied Nevada Gold Corp. [[ANV]] , which I’ve loved since it was a little $6 stock, barely in knee pants. 

 For the love of Uncle Mike, why don’t you pay attention to my picks like this one?  Do I not provide enough excitement with these double and triple baggers over a 12 month period?  Ah well, it’s not like I haven’t been eating my own pudding, right?  My gosh, take a look at this weekly chart:

Yes, that’s pretty much “free air” you are seeing in these current climes… marked by very little resistance.   I’d love to see this beauty taken out by one of the acquisition-minded bigs, but I’m content to sit on my gains and allow them to continue to accumulate, no mattah (sic).

Speaking of charts that look like Cree, Inc. [[CREE]] look at CREE, again, and don’t forget about the monster move Veeco Instruments Inc. [[VECO]] made today.  Make no mistake, these companies are going to be the new tech leaders, much like the Microsoft Corporation [[MSFT]] ‘s and Dell Inc. [[DELL]] ‘s and eBay Inc. [[EBAY]] ‘s were in the techy past.   You should be content to accumulate these plays, along with such other long term targets like Royal Gold, Inc. [[RGLD]] and Monsanto Company [[MON]] .

That’s what I’m here for… the long term stuff and the stability.   Not overly exciting, but a great deal of solid companies, doing the best in their fields.   Now go on, get.  There’s probably some teevee on, or something…

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Fillies Day at Churchill – The Kentucky Oaks

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Whether or not 6-5 rated filly Blind Luck dominates this year’s Kentucky Oaks race as she’s expected, I will need much luck at the track tomorrow as I spin out my “exotics” bets, the exactas, trifectas and superfectas.

You see I’m usually a happy loser on Oaks, and a winner on Derby (the next day, Saturday).  I take Oaks Day as a warm-up, choosing to schmooze the crowds and throw crazy United Parcel Service, Inc. [[UPS]] -truck sized iron butterfly-equivalent bets that have about as much chance of coming in as a fat man in a Scottsdale Arizona half-marathon.

For the big race itself (the Oaks, tomorrow, I mean), I guess I’m going to have to throw Blind Luck in there with my exotics, as betting it straight up (at 6-5) would just be plain boring, even with a win.   I’ll likely pair her up in an exacta with Tidal Pool or Quiet Temper.    

My “sleeper” is Beautician, and I may throw some money at her in a win place type of situation.  We’ll see.

Also of some interest to fans of the Sport of Kings, last year’s Oaks Queen (by over 20 lengths!), Rachel Alexandra will be featured tomorrow as well,  in the Grade II La Troienne Stakes, which will run before the Oaks.  In that race she faces the one horse that has beaten her this year — Zardana.   Should be a good one.

Nothing much to see in my stock portfolio, aside from “win” — the misbehaving LED light partners Cree, Inc. [[CREE]] and Veeco Instruments Inc. [[VECO]] notwithstanding.    Monsanto Company [[MON]] is looking very tasty here as well, and I will be adding to my original pile tomorrow at these levels.   Again, I don’t care if MON goes to the fifties, as I will continue to purchase it for the long haul.  That said, it’s monstrously oversold right now.

Meanwhile, in sunnier climes, I expect Allied Nevada Gold Corp. [[ANV]] and Eldorado Gold Corporation (USA) [[EGO]] and Silver Wheaton Corp. (USA) [[SLW]] continue to pack on pounds every day in an effort to please me with their plumpness.   I look or Rubicon Minerals Corp. (USA) [[RBY]] to start to mimic the success of Golden Star Resources Ltd. (USA) [[GSS]] as of late.   Also, keep an eye on [[EXK]] making a stealth move, along with [[CDE]] .

On the platinum side, aside from [[PTM]] , the ETF, the miners [[PAL]] and Stillwater Mining Company [[SWC]] look like they are returning to the upside move again.

Two stocks that have been in my portfolio went kind of wacky tonight… [[ENTR]] and Akamai Technologies, Inc. [[AKAM]] — an old friend of le Docteur M. Le Fly.

As always, I can’t state strongly enough the benefits of giving The PPT a shot.  The work that is going on within those walls recently is truly impressive.   Useful tools and a useful community of traders… you can’t ask for much more than that at the price.

Best to you all, and Happy Oaks!

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Watch for Gay Giraffes!
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As you know, I’ve been trimming the positions recently, despite taking an initial 2k share position in Central European Distribution [[CEDC]] today at $38.62 as announced on The PPT.  I also took the opportunity this afternoon to trim half of my Cree, Inc. [[CREE]] position in the high $79.20’s and 2k shares of Veeco Instruments Inc. [[VECO]] at $46.78.

On the PM side, I also dumped another 2k shares of [[CDE]] at $17.12 and 2k shares of Allied Nevada Gold Corp. [[ANV]] at $16.95. Do not fret, these are just minor sales in anticipation of a pullback.

I think we’re in for at least a brief pullback and I’ve been looking for some easy fat, sloppy targets that offer some bang for the buck, all giraffe puns excepted. I think I’ve found one in our old furry booted friend Deckers Outdoor Corporation [[DECK]] . 

“Lookee Here” as some apish Yankees would say:

 

We’ve all made some money on shorting Deckers Outdoor Corporation [[DECK]] in the past, let’s do it again, for auld (sic) times sake.

Best to you all.

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The M&A boom in the precious metal sector that I’ve long predicted on these page has finally begun to blossom.   [[LIHR]] supernova’d today on news of it’s rejection of egregious sexual advances from the Newmont Mining Corporation [[NEM]] and other encroaching crepuscular old men.

This will be only the beginning, as I have mentioned to you.   Large, shambling behemoths like Newmont Mining Corporation [[NEM]] , Barrick Gold Corporation (USA) [[ABX]] and even the nimbler Goldcorp Inc. (USA) [[GG]] will be hungrily seeking  small and medium sized asset-laden precious metal players like voracious toothed pelicans pursuing hapless baby ducks.  Smack! Smack! Deeeelicious!

  I expect that eventually, even the big general metal miners like Freeport-McMoRan Copper & Gold Inc. [[FCX]] and BHP Billiton Limited (ADR) [[BHP]] will get into the act, diluting themselves for my greater enrichment.  What’s up today as a result?  Better to ask what isn’t, but you can infer that the names with the greatest returns on an M&A day like today are very likely going to correlate with the names of other possible acquirees… among them:

Yamana Gold Inc. (USA) [[AUY]] , [[CDE]] , Eldorado Gold Corporation (USA) [[EGO]] ,  almost all the components of [[GDX]] and [[GDXJ]] ; silvers Hecla Mining Company [[HL]] and [[MVG]] (congrats to Employee8/Teahouse on this last one), and the two of  “the three N’s:”  NovaGold Resources Inc. (USA) [[NG]] and New Gold Inc. (USA) [[NGD]] . 

Also,  the silver cabelleros [[PAAS]] , Silver Wheaton Corp. (USA) [[SLW]] , Silver Standard Resources Inc. (USA) [[SSRI]] and [[SVM]] are all hot (and even stodgy [[SLV]] and his steroidal brother [[AGQ]] ), and let’s not forget platinum friends [[PAL]] and Stillwater Mining Company [[SWC]] .  Last, let’s not forget “X” factor, recently unspun Exeter Resource Corp. [[XRA]] .

Untroubled by today’s rush are eight PM underperformers which may only be laggards to today’s action, and therefore bear watching: Allied Nevada Gold Corp. [[ANV]] , [[EXK]] , Gold Fields Limited (ADR) [[GFI]] , Gammon Gold, Inc. [[GRS]] , Golden Star Resources Ltd. (USA) [[GSS]] ,  Northgate Minerals Corporation (USA) [[NXG]] , Rubicon Minerals Corp. (USA) [[RBY]] , and Royal Gold, Inc. [[RGLD]] .   You know that last is one of my all time buy and hold plays, so watch it especially here.

For my part, I will continue to ride the invisible neon flow of the Matrix, to the envy of my friends and the chagrin of my enemies.  I wish I could tell you all the momentous things which currently abrade my precious thread of cohesion with you all, but it would just as likely cast you into the pit of despair as lift your spirits to the heavens. 

Tomorrow is a day of Remembrance for me, and a day of quiet for the Markets.   I will try to stop in to share cause and cost with you, but if we not speak, may you all be well, and good to one another.

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Note, upper left corner — “The Perfect Sammich”
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To the chagrin of Bears and cash horders everywhere, the unemployment numbers were magically re-arranged in unicorn land to gallop forth and match the pixie-dust retail fabulations we got yesterday.

Ladies and gentlemen, I’d like to take this moment to thank The Gap Inc. [[GPS]] for saving America. It’s quite obvious that all those laid off investment bankers and advertising execs are putting their latest model Research In Motion Limited (USA) [[RIMM]] and Apple Inc. [[AAPL]] communications devices to work via banana-skin-tight tee shirt sizing down at the Mall of America.

Let’s face it, late stage consumer meltdown (“don’t get mad, go shopping!”) is the only logical answer to our employment resurgance (only down 35,000 jobs this month, President Obama, we thank thee!)– Coo coo coo joo, Urban Outfitters, a nation turns it’s plastic cards to you… hoo, hoo, hoo.

Hoo, hoo, hoo. Now, get back to folding!

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We didn’t get our [[HUI]] touch of $415 yesterday, and that annoyed me, but only temporarily. I think we may get just enough dollar strenth today (DXY rose to $80.89 this morning on the good news that the mall employee to mall attendee ratio was flattening). Same goes for Allied Nevada Gold Corp. [[ANV]] which got as low as $14.33, but did not fill Monday’s gap at $14.24.

I’d keep my PM buys in there at those levels, as I think those gaps want to be filled. Silver Wheaton Corp. (USA) [[SLW]] is a different story, as it fell quite a bit yesterday on typical pre-employment number chicanery trading. I would be buying it right now, as I think yesterday’s washout was a last wriggle before it heads back to the recent highs in the high $17 area.

All that said, I expect to be lightening up on some of my option plays, perhaps as soon as early next week, as I think we’re due for a pullback after fighting the overly bearish for the last week or so. As they pile in, we shall pile out — if only temporarily — from our higher risk positions. That would include my [[GDX]] and Monsanto Company [[MON]] calls, not to mention the previously discussed Silver Wheaton Corp. (USA) [[SLW]] , though north of $16.00 for that last.

Expect the dollar to begin to weaken here (watch [[UUP]] with DXY), after absorbing some of the glow of cheap brandy acclaim from today’s numbers. I still like [[TBT]] , however, as I think the treasury markets will recess in unison with their underlying currency. Chickens & eggs and all that.

Best to you all, and enjoy your smelter sammiches (sic).
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