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Wednesday, November 4, 2009

What is up with Gold?

Gold and oil spiked higher today, dragging up commodity stocks. US stayed about the same. US markets barely higher.

So whats going on with gold/oil? There is no news out to explain it. What that could mean is some interesting news is about to hit, and big money poured into gold/oil for the big play. Could be Israel taking out Iran nukes, could be the US fed announcing something unexpected Wednesday, or could be a final run up before a big down.

I can hope the Fed or government will announce something to actually enforce the law and bring large banks into compliance. That would unfortunately tank the markets, but would probably spike gold/us dollar. I doubt the right thing will be done until the market is so low, it doesn't matter.

I started buying back gold miners, as I mentioned Thursday, but not with much conviction. I still don't have much conviction, but I'll try to add to the play. I am changing the text on my stock plays to CONSIDER SLOWLY buying gold miners on pullbacks, with stop positions.

I expect by Monday we will all know if there is some news later that explains todays market action. For now, I have the charts below.

If you want to go "long" something, my mantra has always been go long commodities. Gold miners is a little riskier now that the stock popped up, but still worth buying a tiny bit and see where it gets you.

NOTE: 2:15 pm Wednesday is Federal Reserve Bank announcement, this and Fridays job numbers could move the market significantly.

From WebSufinMurfs FinancialBlog2

From WebSufinMurfs FinancialBlog2

From WebSufinMurfs FinancialBlog2

From WebSufinMurfs FinancialBlog2

1 comment:

  1. hello... hapi blogging... have a nice day! just visiting here....

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