It’s not like I don’t get little enough sleep as it is… No, Fly’s gotta start chucking cherry bombs over at his place, talking all kinds of pina colada-induced nonsense about voting for the Emperor again, despite his concerted attack on the American economic system and his attempt to “transform” us into Denmark in the middle of a mild recession that is getting less and less milder as we speak.
All because he thinks Rick Perry — 11 year governor of Texas and one-time Southern Democrat — is going to abolish the Fed? Can he be serious? No, I don’t think he is, either.
No, I’m blaming it on second-degree sunburn, and leaving off. I don’t believe the Fly really wants to turn us into Europe… not with what’s going on over there right now, as their underfunded demographically-imploding welfare states dissolve into a puddle of ill-trained and ungrateful flash-mobs. And really, what can you expect from a country whose National Health Service had 239 patients die from malnutrition last year?
Yes, you read that right… click on the article to read more about the glories of social democracy and state-based healthcare provision. Obamacare, anyone?
It’s okay. You made a mistake. It hurts, and it’s embarrassing. Hell, you’ve got to ditch all that blue and red block-printed poster-board and tee shirtage. But don’t fret… there’s good news.
You’ll have a chance to right that wrong in 2012. It’s not going to be the “perfect candidate.” It never is. Sometimes you have to choose the good over the perfect, and sometimes even the lesser of two evils.
In this case, the choice won’t be that difficult. You’ve got a chance to undo some pretty significant damage. I know you’ll do the right thing in the end.
I remain stolid in my recent positions. My hedges, such as they are, harden into calcified barnacles, neither sentient nor proud. Their growth is de minimus, moving like the tides, if at all.
I’m not wholly convinced that the PM’s are quite dead or ready to roll over, so I guess I will wait for a sound. In the meantime, I continue to winnow positions in other areas, moving to an almost wholly “cash and PM” portfolio, save for my ETF positions and the BWA, WNR and UPS I still own.
OpEx is a tough week. Let us watch and wait for it to resolve itself. AUY continues to look fantastic, btw.
Yes, I sold off or hedged quite a bit of my gold and silver exposure last week, though I still keep quite a few low-floaters for “venture capital” type opportunities. Like as not I will trim down to the core this week. My reasons for doing so are two-fold:
First, we saw gold hit a significant hurdle last week at $1820 or so without either silver or the miners really taking off. We then saw gold drop more than $70 in scant days, taking it’s little sister silver along with it (far more precipitously, I might add). Now both have stabilized, but I can’t help but think we’ve been riding this latest wave long enough and it’s time to step-off while there’s still some peanuts on the floor to take home to Mom.
Second, my gut is telling me the string is playing out, not only on our precious metal positions (albeit temporarily), but also on the market itself.
But not before a bit of a party.
As you may recall, I bot some ERX and some EDC last week and those have been doing fine. I might add to some of those this week, depending on the reception we get tomorrow morning at around 11 am (my preferred “taste time.”) I may even grab some TNA and QLD as well.
But be forewarned — I’m only grabbing ETF’s because they are easier to monitor with regard to swift moves in the market, which I fully expect in these next few months. Like as not, I will trim all extraneous non-ETF positions in the coming weeks, as the market continues to regain its health from the recent depredations. That means even UPS and BWA will go — though they may go last.
________________________ Looking over my charts this evening (no shoulder devils or broken elevators), it seems that while the price of gold is doing the Heschel Walker down the field, the metal’s miners are lagging behind like a fat man with smoker’s hack. This gives me some pause and has me with my finger on the trigger. Despite minor wins today in AUQ, AUY and ANV, most miners that didn’t start with “A” were having trouble addressing the field. Moreover, silver struggled at the $40 line and gave it up by the end of the day. As a result, despite gold being up nicely, I was still down in my miner-saturated portfolio almost 2% overall today.
I’ve seen this play before (gold up, silver and PM miners lagging) and I don’t intend to stick around to see what comes of it again. I will likely sell some portions of my miners tomorrow morning and then hedge the rest with sold calls. I will also launch the remainder of my NUGT and DGP (what remains of them) even as I’ll likely hold on to my GLD and SLV positions for the duration,
I will then likely spin some of the newly raised cash into a few rebound stock positions to take advantage of a bounce I feel certain shall finally come tomorrow as we test the depths of 1090 and perhaps lower. I am again looking at QLD, TNA, EEM and possibly, quite possibly EDC again (very small ball!).