"As for the HUI, attached is a weekly chart updating the gold stock situation. The TRIX trigger lines have pulled even and this indicator that we have been using as a would-be confirmation of the bottoming process is looking better. But a daily chart (also attached) painted a Bearish Engulfing candle yesterday, which implies very short term downside follow through. An example of a short term Bearish Engulfing reaction from late July is circled. We want to see the 415 to 420 support area hold.
Resistance is over head at 440 and the upside targets would remain 460 and 540 if the bottoming process continues successfully.
Of more importance is the 415-420 area. This should hold for the advance to remain normal."
Well, it remained normal alright. Got this feedback from a subscriber:
"Using your prescience on the move has been a winner. Thanks mucho." --DC, 10.16.12
Which brings me to another point. People like DC are trading the heck out of the precious metals and PM stocks and doing so successfully. It makes me happy if I am able to provide parameters and help in the process.
But writing the newsletter has been like lugging a piano around on my back with respect to my own personal trading. I don't know how many times I've let excellent profits just go poof because I try to provide stability within the letter in service to whatever the bigger picture macro view may be. Don't get me wrong, risk is managed with extreme predjudice when needed within the macro, but sometimes you just gotta take profits well earned.
Well enough is enough. I want to be more like the subscribers who like to trade and use the analysis to gauge and capitalize on shorter term opportunities. While I will not trade just for the sake of it, I seem to remember being a pretty good trader with the requisite psychological framework for doing it successfully. Vocation-wise, I am now a one-trick pony as I am no longer a business person out there in the real world.
The market is my thing now and aside from the newsletter, trading is my only income. I am going to minimize the individual stock focus to a few prospective gems (that I still intend to hold) and maximize the use of GDXJ, SLV, GLD, UGL, AGQ, GDX (not to mention bull ETF's and bear vehicles from around the global market spectrum), etc. My thing is the macro markets, not individual stocks.
I have not owned the piece of garbage written about a few posts ago (GBG) in years, but there are other basket cases out there that have disappointed as well and not being a stock fundamentals guy but being a macro fundamentals guy, it only makes sense I focus on macro issues like 'what SECTOR is going up or down?', not what some individual company run by some dope is going to do.
As I said, I have my favorites in individual equities, but the focus is changing and I am psyched about that.
The post started as promo of some in-week email update management NFTRH provided and ended up a little screedish. All's normal in biiwii land I guess.
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