Monday, September 19, 2005

RED HUI

Everything corrects my friends, nothing is straight up and many times when it is, it also comes straight down if it was a parabolic move.

Welcome to all my new readers, let me know if some of my technical discussions need more explanation, all TA is based on some level of observation of time and patterns.

My buddy Matt tells me we had a full moon last night, so many believe turns in markets occur at or near these lunar changes.

$471 would seem to be a stubborn resistance, so not to go at first try. Bullishness is fever pitch, that always needs correcting.

Is market (Dow off triple digits as I type) giving us a warning? About FED meeting tomorrow?

All I can say is I find it interesting this roiled market comes a day after strongest move volume wise at OPEX Friday of nearly 3 Billion plus shares on NYSE! and a strong up day, then what did strong up volume mean?

Its OPEX Friday (3rd Fri of each month as options expire) so strange things happen but thishas been a lack of follow through market, in a entrenched trading range.

A breakout either direction should not be taken lightly. ANY break and close BELOW 10K should get you rather defensive IMHO

Lastly, dont forget gold shares are just that paper assets even if backed by the gold reserves, mostly only the big guys are profitable and some of them have been hurt by higher fuel costs. But gold shares could be sold as any paper asset in a decline, but maybe not as severe.

I don't know if its here, there are stirrings on gold bug land, populace at large still not on it, but becoming more aware, lots of attention in media now. But somewhere, maybe very close by will come a time you MUST own some gold, and or the shares. IMHO

In the face of deflation should it show, I imagine the gloves would come off an already drunken printing press.

ALL that said, BUSH is first 2 term Pres never to veto a spending bill! and we'll spend whatever it takes in gulf States, even if no plan onhow to pay for it, as we dont have the money, but we could print it.

Duratek

No comments: