Slope initially began as a blog, so this is where most of the website’s content resides. Here we have tens of thousands of posts dating back over a decade. These are listed in reverse chronological order. Click on any category icon below to see posts tagged with that particular subject, or click on a word in the category cloud on the right side of the screen for more specific choices.
Once again, I don't have much of anything new to say about the market, so I thought I'd just share a few more long ideas. Tomorrow (Friday) should be extremely quiet on the news front, and I guess the market won't really harden in either direction until earnings start flowing in earnest. Until then, here is a trio of ideas to consider. That's it for me today; good night!
When will this ever end? Seriously?
There is a lot of controversy
stirring up with regard to what could be the "largest fraud in
history", as gold available for delivery to people who think they
actually own metal through paper intermediaries is being exposed as
being only as safe as the entities that guarantee its delivery — in
other words, not safe at all.
This is putting a scare into people
who think that owning gold is as easy as buying GLD and resting easy
with the mindset that everything is a price
play in the grand casino. While I guess I have not parroted this often
of late, the word in these
pages always has been "gold – real gold – is not about price, it is
about value".
The United
States remains a high functioning bankrupt entity, as are many other
developed nations. These nations are going 'all in' in a game with only
one outcome – an end to the system – with only the timing in question.
It appears that gold's four month long correction is being arrested
while the dynamics currently in play could easily send gold through the
intermediate target of 1300 USD, to the longer term target of 2,200 and
beyond.
Ah, but here in biiwii land we are never about hype and
over-frothed excitement, now are we? Nor are we about price. What we
are about is risk and reward, insurance and remaining on the opposite
side from panicked herds.
Take a look at recent history; economic
blow up leading to off-the-scale inflationary monetary policies have
led to the appearance of economic recovery. Wall Street and the
mainstream financial media are puffing out their feathers in all their
conventional splendor. The price casino is open once again to the
public.
Gold lived up to its true utility in the financial panic
as its VALUE – or real price – soared (to intermediate term
unsustainable levels) in relation to all other assets as the casino
emptied amid the flames. Enter the Wizard and his inflate-o-matic
monetary policy and the resultant economic rebound as the price of gold
took the correction in relation to many of the gamed assets. People who
understand value in a monetary world gone mad, just yawned. Casino
patrons however, well… it is called a herd for a reason.
Meanwhile,
there's real gold; so misunderstood, so boring… but seemingly about
to get much less so. For its part, the daily chart projects to around
1225, but who cares? It's just a price. Of more importance is its relational
value to things like the stock market, in which so many people have
put their faith once again.
I came into the morning short EFA, and I covered the position soon after the open, thanks to my newfound paranoia. That paranoia was well-founded.
I have just re-entered the same short based on the observation that there seems to be a series of gap fills creating lower highs and lower lows. Below is an intraday graph of the past week or so.
