NL - I tried to open a thread but it didn't look right so I didn't proceed with it. Think I need to go back to the initial instructions but no time this morning. Anyway, on with what I had prepared.
That is the type of Black Swan event we could have done without.
I mentioned yesterday that the Super Moon on the weekend was the first of three and to “expect a bit more volatility”. So the next four weeks are probably going to be pretty dramatic breaking us all out of the lethargy the markets have been in for some months.
Gold was a beneficiary. The fall early this week left a very big gap. I am undecided at this stage whether this market is just going to fill this gap or whether this is the beginning of the next leg up. It is possible to make a clear argument that gold did five waves up and came back into roughly the area of the support of the previous fourth wave. However, normally I would expect such a correction to take a bit longer to complete which is why I am undecided about the bigger picture right here. Longer term, I still see the gold market as having formed a major bottom and pleased this morning that I went back into gold stocks yesterday.
And just to correct a previous comment by Redbacka – my first post on this thread on my return was that I was so surprised there was so little comment on the market seeing as it was at the highest level since 2008 and that I was doing a lot of selling. I think that is a pretty clear comment. But just to take this matter one step further - and I feel a bit like Pisces on this subject – I am at my desk every morning at 5.30 and spend hours updating my charts. I make some notes and then try and post what I think is important in the market. However, the day recently when I sat down and in five minutes said why I believed that we should include stock comments, attracted more thumb ups than all the long considered views I post. I took that as some sort of message from others who may read this thread. I think we are all probably looking for something different but at the end of the day, it is really about making money – not scoring points and some of the stocks discussed here in recent months have been fabulous winners.
(20min delay)