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My fellow Americans… on this dark, dark day, when your PM positions have pulled back an egregious and insufferable one to two percent, I say to you, do not despair!

Do not feel compelled to jump on the gerbil wheel of drunken Chinamen.

Do not wander over hill and dale for the next Great Internet Bullshittery. 

And do not even bother getting short anything.  The Ben Bernank will shower all with increasingly feeble greenbacks.   Some will feel warm.  Some will point to value.   It will matter little.

Today, you must ask not what the dollar can do for you, but what you can do for the dollar.  At $76.25 or so, you can cheer the dollar on, and celebrate it’s deceased feline trampoline action by indulging in a select group of excellent names.  

They be SLW, PAAS, EXK, NGD, AAU, ANV, EGO and MVG.  

One other thing.  If you are worried about 5% moves one way or the other, and trying to catch every inflection, this game is not for you.   We are riding a wave of pure cement, and you are too small to challenge the intractable.   You will be entombed like a random concrete pourer on the mighty Verrazano.  

That is all, be well and healthy.

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UP goes silver and gold!

Sorry, I only have a minute or so, and it took me a while to fix the pic (if it is fixed!).

Looks like the dollar is heading to at least $76 where it should bounce (no guarantees).  That should give you an entry into some of my wild babies, like SLW, ANV, RGLD, PAAS, and maybe even AGQ if you have the gumption.  

I also like IVN and of course NGD and almost any silver here.  Buy quality if you can, however, so only do HL and CDE small, if at all.

I continue to become enriched, thanks to the above.  Have you participated?

I will try to re-cap my DC adventures later tonight.  Bizarre town, this is. 

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I apologize again for only being among you in rare circumstances these past few days. Except for a brief glimpse at The PPT and the regular iBankCoin panopoly today, I had little time to visit and surely none to roll out a post of any quality.

You see I was getting ready for my Washington trip.   Washington, DC, the seat of the Federal Maw, that is.   And oh what an egregious trip it is, as I’m off to see an actual Federal functionary.  A cypher.  A paper pusher.  A true honest to goodness Level 15 bureaucrat.   Assistant to the assistant secretary of Tax Payer Deflowerment and Refurbishing. 

I attend with a client, and I must say I’m morbidly curious.  I’ve never actually had to correspond in person with a Federal government employee (at least none that didn’t have to be elected first).  We are actually going to see this particular green eye shade public pensionairy about an interesting subject that I wish I could share with you here, but cannot.  It would make for a good story, let me tell you, and maybe I’ll roll it out a year from now.  

Until then, I will be busy as Paul Ryan in a forest of red tape and pork loin.  I will try to Blackberry in, and perhaps post from my hotel tomorrow evening, provided I’m not eaten by some brand of obscene government-provisioned and taxpayer fortified bed mite.

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What’s that you say?  Wasn’t it a shame to see all the lily-livers jumping off the bus at 3:00 pm today?  Well yes, I admit it was.   But I must also say it was quite amusing, as I was in meetings all afternoon and only got to review the tape in 20-20 hindsight.  It’s amazing to watch the experienced, hoary old gold and silver bulls shake the noobs like a passel of defeated rats fleeing the maze.  Here’s some advice next time the dollar is melting down and you feel trapped into pushing the panic button:

Be the maze.  Don’t listen to the dufuses and the short termers, but think about how you are constructing the web, the maze, the golden thread spun up around their misbegotten strategies.  You are the maze, and they cannot gnaw their way out, as you are a maze constructed of the finest cement… not maize.

Attend to the dollar this evening:

We could bounce here again, for sure.  But the way the rest of the stochs are looking, it doesn’t look like a bounce is imminent.  I think we’ll see a snap of this long term support line, and then there will be the deluge.

For now, let’s stick to high quality names, though I like crazy stuff like AAU, IVN IAG, NGD, EXK and even AGQ.  However, there is one silver stock that stands asportfolio  royalty — the mineless and therefore sinless, SLW.  Remember this reminder chart I published just over two weeks back?

Did you indulge?  Those who follow me on The PPT did, as do those who are watching my pick in the March Madness Tourney.  All found SLW and were comforted:

Thank you indeud for you patience and indulgence, as always.

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(The Doctor Was Right!)

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Le Docteur du Drosfila was correuct yesterday when he promised that The Santa Bernank would arrive soon and solve all your troubles. 

Well, he would if you were an earl and precious metal investor at least.  The rest of the “stock” market may take a little breather here as we reset for the next devaluation of your crumbly-tumbly dollar (down another 0.6% as I type this).   I wouldn’t get too worried, however, unless you are on food stamps or some other COLA-regulated form of government teat.   Because be assured, your welfare state is not looking out for your welfare, even if you are on Welfare!

Yesterday, on weakness, I indulged — as per my announcements on The PPT, peace be upon it — in a double helping of additional gold stocks.  I am quite full up on silver, though I may turn fat fingered vulgarian and grab a smidge more AGQ to take full advantage of any weakness.  The stocks I added to yesterday were EGO and NGD.   Some comrades on The PPT followed me, at even lower prices than I received.

Cursed be their names.

Today, I am looking at some additional weakness in ANV and IAG, and those would be where I’d alight first.  I am also looking at AAU and IVN as “exotics” as it were.   Royal Gold (RGLD) is also looking  juicy.

We’ll talk more tonight.  Good luck and Merry Bernanke to you all.

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Listen up kids, I don’t do drugs.  

No, really.

No, I get high on… silver highs.   New one’s especially.  ‘Fact, I might even OD on breaking all-time highs, but I am doing wind sprints and having my sons jump out of random closets at me— “Cato-Clouseau-style” — in order to get my adrenaline glands in good condition for the eventuality.

Cause I’m pretty sure it’s coming.   Tonight we have new 31-year highs at $33.12, which is making me very happy.  Mind you I started buying physical silver at about $4.50 an ounce, and have never sold any of it.  That’s over 630% since 2002.  I wish I could say the same for my silver stocks, which I’ve traded perhaps with over-zealous vigour (sic).  In truth, they’ve been even more volatile than the commodity price itself.  

My favorite silver play continues to be the royalty play Silver Wheaton — SLW— which does not dirty its fingernails with crude dirt-scratching but instead secures royalty payment in silver at a certain price in exchange for financing miners.   Would you screech out loud if I told you that SLW had arranged to be paid in silver at the equivalent of less than $5.00 an ounce?   That’s like taking a time machine back to 2002 and rifling the unsuspecting corner numismatic storedfront for less than appreciated 100 oz. ingots, only to return to February 2011 and have them assayed for over $33… and counting.

Can you see why I’m so excited about royalty plays?  They are, in fact, leverage for the leveraged price of the precious metal, as that is what the miners do — they allow one leverage on an increasing precious metal price.  The royalty play is one step higher up the chain of amped return.  Is there risk of default and other mining related problems?  Of course, but like a bank, a diversified portfolio will absorb some of that volatility.  

 Remember this SLW  chart from a couple of weeks ago?   The two arrows are the places where I’ve made recent buys.  We’re still not back to our old December highs, but I think we’ll be there, maybe as soon as this week.  

 Royal Gold — RGLD — is another royalty play, this time on the gold side, and with an even more diversified portfolio than SLW.   That’s another Jacksonian you want to own.

I also like EXK, AGQ (be careful with this one), PAAS, MVG, SVM, AG, CDE (small), and SSRI.  Another great catch all for all of these (or most) is SIL, the silver miner ETF. 

For gold, the old standards, ANV, EGO, RGLD, IAG, GDX, GDXJ, NGD  are recommended, and newcomers IVN and AAU to taste.  I continue to believe also that the rare earth metals will resume their volatile climbs, and I like AVL and QSURD best.

Nothing going on in the U.S. stock markets tomorrow, but the precious metal, U.S. dollar and futures markets should be fun.  Ciao for now.

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Bottoms Up! 

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On the imminent demise of the buck today, I loaded up with stupid amounts of AGQ, NGD, PAAS, MVG and SVM today, not to mention another 25% of RGLD.

The dollar is dying, I am quite confident of it.  Take advantage of all opportunities to at least mid-$76 on the DX-Y.  

That is all, really.  Short, sweet, simple

And sweet again.

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