We are managing the now confirmed bottom in the HUI, we are managing its upside targets (hint, we're just about at the first
one) and we are managing the probabilities with respect to the
breakouts in gold and silver… all in the newsletter week to week and
more dynamically, in email updates such as the one that went out this
For our general purposes here however, let's just note that the entire
endorphin release in the broad markets has come against a situation
where the noise level about QE has gone way over the top with the euro
leaders squabbling and jawboning and US Fed members alternately playing
good cop and bad cop to a market that doesn't really know what to think,
other than 'let's party!'.
I would imagine that there are a lot of people feeling like "shit, I
missed the bottom… I better get in!" and indeed, the AAII individual
investors are at a 4 month high in bullish sentiment: See 5th item
down, here http://www.biiwii.com/analysis.htm.
T bonds are UP, while Uncle Buck is down in the face of the euro, which
is UP and probably getting short-covered. The precious metals are doing
something really constructive here, but what I will say is keep the whole
in mind, not just one or two particular areas of interest. It's a
circus, a carnival and a casino all rolled into one and perceptions are
now being built and cemented in a mirror opposite to those that got
burnished into the investor mindset in the spring and early summer.