Monday, February 7, 2011

TUESDAY'S TIPOFF update III

Preparation for Tuesday's trading must start off with the usual admonition that trading in this casino is an extremly high risk proposition. We are highly over bought at this point in the equity market and some consolidation is in order shortly. If we get a hard take down then our mining stocks in silver gold uranium palladium will all take hits to some degree. Remember though we are in an extremely treacherous market and this current uptrend as overbought as it is can continue even longer. There is a concerted effort to destroy as many short positions as possible by the inside team. Shorts are providing a source of liquidity for the proprietary traders that are tied to the Fed. You may find this unethical or even illegal....but this is the game. You can fight the tide or you can try to understand the game. Be aware there is only one power that can stop this and that power is nature. It has its own time table and when it does intervene it will be brutal. The nature of this intervention will not be predictable. It may begin with a Black Swan event of some sort....or it may begin as a set of economic or political dominoes triggering a more controlled collapse. For now you have to assume this game goes on as predicted by the Bernank and his various programs including QE. I see plenty of warning signs and strain from the inflation/stagflation we are exporting but I don't see the tipping point.......yet.

The goal of this is to avert inflation by trying to shift the equation of the velocity of money to full steam ahead. So far the needle is barely moving. There is still not enough CONfidence reinstilled in the world for this to take hold. Good luck with that game and good luck with fiat currencies in general. This blog does not predict the end of all fiat or for that matter the end of the dollar. It may happen to some degree but that is not our purpose. The question is how do you prevent the mass loss of confidence in the value of paper currency when you are printing Trillions of it and the public KNOWS its losing value. Guess what.....in a twisted way THEY are trying to create that very thought process. In other words....they want you to put your money BACK into risk whether you want to or NOT. Take that money out of your savings accounts and your mattress and INVEST it. Put it anywhere but savings or your mattress. GET THOSE ANIMAL SPIRITS GOING AGAIN.

Ok ....that's where we are. So lets revisit uranium ....here is a great review article that has all of our favorites discussed......UEC URG URZ USU DNN etc.....

http://seekingalpha.com/article/251025-uranium-energy-helping-to-decrease-foreign-uranium-dependence?source=yahoo

Precious metal are still your best play in this environment. At least holding the physical metal is. Paper trades like SLV GLD are NOT SAFE. Miners are trying to make another leg up but we could have a consolidation for awhile. I just think you need a very good core in them NOW. Silver is my favorite....PSLV SLW SSRI HL EXK PZG...

Stand on the sidelines and watch or throw the dice. Either way you are taking a risk. One way or another they are trying to take your savings. That is the nature of the greatest BEAR of all bears.

Egypt is not over. Even the short term looks dicey for Mubarak. A lot of people asking for accountability and no torture and no corruption and no cronyism (golly this sounds too familiar) have died there and I have a feeling a lot more are going to very shortly. Enjoy American Idol.

update I.....Chit hittin the fan???
http://english.ahram.org.eg/~/NewsContent/1/64/5231/Egypt/Politics-/Suez-Canal-workers-go-on-strike-.aspx

Update II.....watta monster day for the silver and gold traders. We broke through critical levels of resistance and should spend a couple of days backing and filling. On the other hand who knows in this game. I took a small ammount off the table for a trade but overall my core remains very heavy still. Look for more fireworks soon in these PM markets and buckle up. Should be one heckuva ride.

update III..... Look!!! Can you imagine??? Italy doesn't want to take their medicine for good ol team Euro. They don't believe they should be forced to have any fiscal responsibility....of course why should they. Isn't that the way we roll these days. After all commander Bernank is setting the example for all the world to follow. The Krauts are not going to take this much longer........just watch!!!

http://www.businessweek.com/news/2011-02-08/italy-seeks-to-thwart-german-push-for-eu-debt-reduction-target.html

30 comments:

  1. Harvey O. - Wow!

    http://harveyorgan.blogspot.com/

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  2. http://bettertrading.blogspot.com/2011/02/jp-morgan-manipulation-explained.html

    Perfect.

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  3. HB,

    Seems like AEN is cheap, what do you think? Tomorrow company is getting with analysts to discuss the status of their drugs.

    http://adeonapharma.com/pipeline.php

    http://finance.yahoo.com/q?s=aen&ql=1

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  4. Don 't forget AXU another silver play.

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  5. I am selling RNN if it hits $2 or better today.EPCT makes sense why stock did not pop more.Compny did financing...However the terms were good for this cheap play.Do not see much downside if any...Silver is the ticket.

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  6. HB I am a close follower of Harvs blog .....that is a very troublesome tally that Harv is computing.....it can be manipulated but not indefinitely....even short term they are going to have to let silver move.

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  7. Cramer actually is recommending DCTH. Hopefully this won't be the kiss of death.

    He said: "This is in the sweet spot. They are the kind of company that are being bought every single day...they've got something really good against melanoma."

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  8. JOE OPXA issued a public offering , looks like it could below 1.75 , would that be a good entry point. Thanks

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  9. Didn't see that Doctrader.....ughoh....

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  10. With China's rate hike one has to view the move in gold and silver today as an Extemely bulllish move...in light of the overall commods and market....BULLISH

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  11. Jim,

    OPXA Offering of 4M shares closes on February 11th, wait and see how low they take it before buying . I'll be watching!

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  12. You don't have to be giddy BUT this may herald an explosive move

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  13. Bio is active..maybe this year they wont take ASCO presenters down before show..

    SNSS looks like its being accumulated and pushed up as they lose Nasdaq listing next mos if not over $...

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  14. Is there any new news on the ships/planes/personnel going Egypt?

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  15. creditguy,

    The link to webcast to day on 3:30 Eastern time for AEN:

    http://adeona.magicoast.com/adeona_webcast.html

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  16. http://finance.yahoo.com/news/Adeona-to-Host-Investor-Day-prnews-1120270030.html?x=0&.v=1

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  17. Thanks PalmerJoe...

    feeling like a sell off at end of day, taking gamble on bzq, tza, drv

    zlcs could be a home run today

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  18. feeling like a sell off at end of day, taking gamble on bzq, tza, drv


    or maybe not!

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  19. AEN is not a day trade at this level unless if it explodes, the conference today is mainly for them to present and look for potential partner, I am hoping price drops so I can buy and accumulate, I like these bios when they get real cheap.

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  20. Don't forget the little peoples drug of choice. Coffee with Sugar and Cream.

    It's not going to be a tea party but riots at Starbucks that brings down the US dream.

    Here's to check how much your fiat compares this time around and 1920's.

    http://www.coinflation.com/

    Jim Rogers might be a little early on the Naz though.

    http://www.zerohedge.com/article/jim-rogers-tells-cnbc-change-its-name-commoditesnbc-sees-oil-150-short-nasdaq-etfs

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  21. Joe are you still liking PGZ or has it become to expensive? Thanks for all the info. If it not too much trouble at price would you like to see AEN for a purchase?

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  22. Joe/ Kli DCTH traded alot shares for it in after hours, no news. I added and Ken jump in also on monday. It has a 30 to 50 cent movement in it almost everyday. Been a good play. Do you know of any news. Thanks

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  23. jim
    with all i have read leasing more floor space even the cramer pump remember this stock could be a takeover target it may climb just on that basis plus the chance of approval

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  24. Tom,

    I like to see PGZ go below $3, it looks expensive to me right now. I like AEN any where between 0.70 and 1.20 for accumulation, we shall see.

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  25. KLI great reads and thks for Keiser Report...Loved it.

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  26. Joe Dcth is on the move in pre market.

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