martis's skeletons await in the closet tuesday, page-2

FIRST!

Interesting times tonight. Aussie dollar getting smashed then bouncing back to the 1.02's and gold moving similarly.

HUI outperforming the stock market again. While I'm not completely knowledgable on such things, I believe the stocks pulling down the HUI are some of the diversified plays (eg copper/gold mines) whereas the more pure 'gold' plays are up over 1% each (eg barrick and Randgold), even though gold has again fallen through 1800USD.

I think we are finally seeing the HUI play catch up and make up ground on the precious metal.

King of the gold bulls sprott has moved his money into equity and I think others are beginning to follow.

I agree to some extent with Martis, high volatility with fear based sentiment will generally lead to a rapid crash, not a rapid rise, being positioned accordingly is important imo.

I think the only potential saving grace will be a QE3 from the US. If Benny does come out and announce this, I think we'll see another 3-6month long rally as per last year.

For the bulls out there, no matter how bleak the outlook is, you can always Bet on Ben! If I remember the Fed is having a whole lot of meetings this week. There are also rumblings that the smart money is slowly taking a position in the market again, trying to buy low and bet on Benny printing his paper. Just rumours really, but bodes well for a rise in the near term.

Personally, I'm long gold equity but with no leverage. I believe the most likely outcomes are Greece gradually strangling with gold rising in price OR QE3 which would see a rise in price of everything. I believe there is a slight risk of a deflationary meltdown if the PIGS drop like dominoes and as such I'm not game enough to go long options or to margin loan....


hmmm wonder if im still first after taking 10 mins to write my post!