185 thoughts on “DID YOU FALL FOR THE BANKSTERS TRAP….AGAIN?

  1. jacob2

    Nope, been waiting for July since mid Febuary. Will be looking at charts of the utterly decimated and those that have held up the best for new buys hopefully with insider buying which has been almost totaly absent.

  2. zkotpen

    No. I even saw this move down coming (posted about 7-10 days ago) — just got a little impatient, and misjudged the timing of it by a few days.

  3. Gary Post author

    The PPT just refuses to let the stock market correct during a Fed rate hiking cycle.

  4. ras

    Just 2 points, Gary. 1. Mas work very well in highly trending markets. They are not effective when price moves sideways. 2. Stochastics not effective in trending markets, they keep flat lining in OB/OS regions. They can be useful in sideways markets. Any market player who has been around for a while will be aware of this.

    Recent trap in gld/gdx is a classical one. The bounce was stopped cold at the DT line on the daily. Thank you for your work on cycles and sentiment. You are marvellous with the pm sector. Of course, it does not absolve the individual player from doing his due diligence. For other sectors, one can supplement by visiting stock charts and stock twitter blogs. On June 19, there was a buy alert on these blogs for labu, just 4-5 days affair. No big deal.

    Watching all the moving parts in SM and materials is a time consuming job. Difficult to find time for frequent posts. All the best to you and the posters on your blog.

  5. Ed

    You said it too early, Gary.
    USD is start to crating again.
    Gold is always slammed before SM. Bond yields fattening even more this morning.
    Every signs pointing the market is running on fume.
    I wouldn’t be surprised if Gold price closed out today at 1250s.
    The way you trade you always late in buying.

    Here is a quote I like to read a day like today,

    Certain common threads run through the best investments I’ve witnessed. They’re usually contrarian, challenging and uncomfortable although the experienced contrarian takes comfort from his or her position outside the herd. Whenever the debt market collapses, for example, most people say, We’re not going to try to catch a falling knife; it’s too dangerous. They usually add, We are going to wait until the dust settles and the uncertainty is resolved. What they mean, of course, is that they’re frightened and unsure of what to do. The one thing I’m sure of is that by the time the knife has stopped falling, the dust has settled and the uncertainty has been resolved, there will be no great bargains left. When buying something has become comfortable again, its price will no longer be so low that it is a great bargain. Thus a hugely profitable investment that doesn’t begin with discomfort is usually an oxymoron. It is our job as contrarians to catch falling knives, hopefully with care and skill. That is why the concept of intrinsic value is so important. If we hold a view of value that enables us to buy when everyone else is selling and if our view turns out to be right that is the route to the greatest rewards earned with the least risk. – Howard Marks

    1. Gary Post author

      I’m not doing anything at the moment. We made a nice profit on our last trade and got the metal portfolio back up to +135%.

      And that’s what I’ve been saying for years. That the time to buy is when one is most afraid to pull the trigger. We haven’t reached that level in gold, not by a long shot. The weekly stochastics have to at least be oversold before one can say traders are scared.

      Things are too erratic for me. I’m not sure I even want to trade the metals right now.

  6. Ed

    I mean Bond yield flattening. That is spreads between long term and short term are moving inversely from their natural directions

  7. zkotpen

    Goild,

    The wiggle in gold & miners is still looking down… ๐Ÿ˜‰

    I think gold is forming its DCL; miners may have already done so.

    Meanwhile, USDJPY has pretty much claimed a personalized parking space on its 5 day SMA. I started to notice that on Friday — it was practically stationary. I think it is preparing for a move up — just a question of when?

  8. RetireYoung

    Posted under the last entry… could this be wave 5 down of wave C? Needs to stay under 1240ish and can’t go over 1259ish.

  9. Nada

    By reading the blog, I see some refuse to change their outlook on gold. It should be an interesting week. Its going to take a serious bloodbath to get sentiment where it needs to be as the goldbugs are worse than cockroaches.

  10. Gary Post author

    Itโ€™s pretty clear the stock market is trying to correct. Either the PPT has to get out of the way and let it happen, or it will have to occur as a violent crash at the tail end of the cycle.

    1. Don

      “trying to correct” is a good way to put it. The corrections are occurring but only in certain sectors and even those are not serious sell offs.

  11. Bigdaddy

    I don’t see anything worth buying this morning. It should be obvious that the stock market is going to go up for a long time so no point in buying SQQQ. i nailed LUBU and then sold it too early. Maybe i will buy it again if it falls more. Stay tuned for guidance.

  12. Bigdaddy

    Now I am losing money on ERX. I can’t believe this shit. I thought it was a sure thing to go up. Everyone says oil is going up. I think the banksters are playing with us. Maybe I will buy more if it goes down a bit more. .

  13. bluelagoon

    It’s looking to me like tomorrow will be the start of a turning point for oil and biotech, with the former going up and the latter going down. Time will tell if these are just corrective bounces or new trends. Given seasonality – I’m guessing just corrective since July tends to be strong for XBI and weak for USL/XOP.

  14. Goild

    I tried playing LABU. It is a different beast.
    Had lost about $800 though I recovered.
    Not so easy hopping between securities.

    Got 250 shares of UVXY at $9.13.

    Good trading to all.

    1. bluelagoon

      No one knows for sure BD but that’s my read on the charts. I’m thinking we have at least 1 week of upside for LABD and Oil – if not more. ERX should be similar to the oil tickers I watch (UWT/GUSH) but caveat – I haven’t studied it since I don’t buy it. Initial look seems like it has a weaker chart. Pls. do you own due diligence.

  15. earthkitten

    Hey Golid. Hope you bought LABD this morning.
    Holding my 2000 shares for a yuge run.

  16. Christian

    Ultimately I am short Miners and still hold a core position in DUST because Gold has yet to complete its ICL but I’m also of the opinion that Miners will produce another LEG UP before rolling over. Meaning I’m not completely buying into Gary’s dead cat bounce theory.

    Please keep in mind that Miners had 3 very strong days last week, so a minor pullback this week was to be expected.

    I would certainly be open to changing my perspective if Gold was to decisively break and close below the 200 DMA but that has yet to happen.

    1. Bigdaddy

      Christian, what do you mean by a “core” position? How is that different from a regular position in DUST. I am just asking in case i am missing something i should know.

      1. AT

        “core position” is just an excuse for being caught on the wrong side of a trade, and hold in hope until recover for at least break even …

        1. Christian

          Not in my case.. A “core” position is when you nail the top or bottom and ride it all the way through an intermediate cycle. Not everyone on this blog is an amateur you platypus!

          1. AT

            touchy?

            โ€œcore positionโ€ still means LOSER POSITION because is always in the red;

            we ALL get trapped in these core positions, so don’t feel so bad

  17. Goild

    earthktten,

    I am glad it is working for you.
    So far I have about $120 for lunch.
    Not my typical day.

  18. allthatglitters

    ERX finally one penny above where I bought it, hells yeah! lol Not selling yet though….

    1. Bigdaddy

      allthatglitter, i am glad we are on the same team. Did you buy your ERX because you saw me buying it? You might want to add to it because i am Just letting you know that I bought another 500 shares at 24.50. I have a 1000 shares now at an average price of 24.41. Time to make some real money. Stay tuned.

  19. Don

    Good morning to all. It looks like it has been an interesting day, so far. Gold crashes but with no follow though, at least not yet. The miners don’t seem to be to shaken up (good for me) but big dumps of gold contracts are usually followed by further weakness so that’s a concern. That said, I am not selling any PM or miner stakes.

    What is very interesting is the action in the semiconductors which appear to have started out strong, then reversed and are now down . The same could be said for the big five and also the biotechs, all of which are down on the day. How the S&P can remain positive on the day is hard to fathom.

    It would seem that money is leaving certain sectors in a rush only to be plowed back into something else immediately. This kind of frenzy used to be typical at significant market tops but now that we have central banks in the mix, with unlimited funds at their disposal, the old rules may longer apply. I stubbornly remain short the SM.

  20. Christian

    I am also liking the look of XLE/ERX even though I wouldn’t be surprised if OIL gave us one more scare.

    I’m gonna go ahead and put a BUY order @24.50 for ERX and see if I get picked up. The 5 minute chart looks ready for a pull-back.

  21. allthatglitters

    wow ERX 16 pennies above where I bought it. Could sell and have lunch money for Taco Bell dollar menu…

  22. Gary Post author

    So far only 4 people have been willing to put their ass on the line and make real time calls.

    This business is much easier if you don’t have to trade in real time. It’s a lot easier to look like a star if you don’t require real time entries and exits. Now you know how virtually every other newsletter writer in the world can produce such astounding trading numbers. They just make their trades using a time machine.

    If your adviser doesn’t give you real time trades, I suggest you demand it and see what he or she says. I suspect most if not all will ignore you or try to skirt the issue.

    1. Christian

      Oh shut it Gary! Your SMT portfolio is made of paper money for Christ sake, Lol! If you had any balls (a word you like to use far too often) you would put REAL MONEY where your mouth is and trade accordingly.

      And you wouldn’t have been able to just shut it down on a whim like you did last year when you couldn’t handle the blowback from all your Subs!

      1. Gary Post author

        My Subs either make money or lose money based on my calls so this is about as far away from paper trading as you could possibly get. I have a huge responsibility to try and make my subscribers money.

        I don’t see what you are afraid of. Make your calls in real time and let me track them.

        1. Christian

          Oh baloney! And I do make my calls in real time. Stop trying to spin things around ๐Ÿ™‚

          1. Gary Post author

            Email me the trades with position size. Everyone starts with a $100,000 portfolio. We’ll see who wins at the end of the year.

            I’ll even let the winner trade the yearly subscription for $500 instead if he can beat me.

            There that should be incentive enough for you to take 30 seconds to send an email.

        2. Seqenenre Tao

          Ok Gary ive been following your work for a couple of years now. Good stuff. Fyi talented tape watchers need not even subscribe ๐Ÿ™‚ You provide great ideas for free, and youre very convicted. Props.

  23. Bigdaddy

    ERX is up 20 cents from my buy in point. Gary is pretty sure we have finally seen the bottom for oil so we should be good.

  24. Bigdaddy

    I got a new computer. Trying to watch the markets on a small screen just isn’t very convenient.

    1. Bob

      Pick up a nice large monitor. You’ll be able to watch a couple of markets at the same time; or split the screen and watch four markets at the same time. Your wife will just have to work that much harder to get your attention.

      1. Bigdaddy

        thanks for the advice Bob but the wife didn’t smash the monitor and it is a twenty four inch so I am good.

  25. Christian

    ERX — My limit order was filled @24.50 but will keep a close eye on it..

    I might also pick up USO if we get a pull-back over the next day or two.

  26. Goild

    Earthkitten,

    I was following you and got into LABD, to lose $300 I had, then to load up to 28K shares which I just sold to get today’s lunch money $500. I had some heat as at some point I was losing $2K.
    Hope it works for you.

  27. Nada

    Miners fighting the trend on anemic volume. It’s hard to trust any move in the miners due to the constant whipsaw. To my eye they are letting retail bid up to short into – but one never knows. I am in GDX 23 puts and will continue to add up to 100ema. The dollar COT data seems tainted with the open interest, but USDJPY looks ready for break-out. Goldbugs are a tenacious bunch and this fact makes me loathe them ๐Ÿ™‚

  28. WYSIWYGN

    me seems all are predicting metals/miners should go down, but the longer is takes, the more doubtful it becomes

    1. Nada

      My sentiment reading is its deep with bulls. I guess we wait to see what the dixie and uj have in store for us. Personally, in reference to goldbugs.. They deserve to die and I hope they burn in Hell!!!

  29. Robert

    Gary, what im gathering from this video is that you now expect gold to head straight down into an extended DCL which will also be the ICL? So this will now be the C wave down

  30. Goild

    There is a divergence between the 3X miners, JNUG and NUGT, and GOLD.
    They should meet gold’s drop by the end of the day.
    So I got a picayune 100 shares of JDST to perhaps have a plus lunch money today.

  31. Goild

    Sold the 100 shares and got $700 for lunch.
    I am done for today.
    Have big bucks coming into your accounts!

  32. Goild

    Ed,

    Thank you for your post.

    I have become kind of an expert on falling knifes. I am able to make money out of them. Of course I have lost a lot on them.

    In this business there is no substitute for trading well. And trading well means going with the trend. One never knows when the trend will stop.

  33. Bigdaddy

    ERX is sitting right on my break even point. Why is GUSH up over 4% and ERX is down ? This is just horseshit.

      1. Bigdaddy

        It almost seems that way but Gary and Christian are on the same page as me so ERX will should take off like GUSH has.

  34. Don

    The VIX (CBOE) closed under 10 today. There has been only two other times in the last thirty years that the VIX was below 10 for a significant period, that being Dec. of 93 and Dec. of 2006. In both instances, the market peaked within two months and was followed by a pullback that ranged from 5-10%. However, the market then went on to make new highs so low volatility does not necessarily mean that we are at the end of a bull market. May 8th was the first day (recently) that the VIX closed below 10 and it has done so 5 times since then.

    I have to wonder if the availability of inverse ETFs has changed the behavior of the VIX by causing investors to be become less willing to pay a premium for put options. Personally, I never buy options anymore.

    1. Bigdaddy

      Don, in a nutshell, you are saying we might see a little bitty pullback sometime between now and August? i could have told you that. Forget that VIX rubbish. Waste of time.

  35. RetireYoung

    Next couple of days should be interesting. I’m looking for gold to break below 1240 (I’m in JDST). Not pierce but break. I think if gold consolidates below 1250 it is also a bad sign for the bulls. If gold breaks 1259 then I’ll buy JNUG.

  36. zkotpen

    People sometimes wonder, why bother with gold and miners, which are not only rangebound, but also only mildly correlated most of this year.

    The answer: Watch “The Gold Rush”… it’s pretty clear ๐Ÿ˜‰

    1. RetireYoung

      Yes, classic movie. I am curious on your thoughts about the wave patterns. Do you think this could be a wave 5 down in a C wave in gold? i.e. A- 3 waves, B-3waves, and C-5 waves. The C wave started at the peak on June 6th. Wave 1 down to June 13th and so on.

      Yes also on only slightly correlated and the GDXJ chart might be screwy due to the rebalancing. But maybe ABC correction with B just ending and now in C?

      The correlation matters too? Ups and downs in miners in theory should be larger than in gold which leads to not being directly correlated as the miners go over and below gold’s price changes.

  37. jacob2

    Oil, off the beaten path. Believe we are being played and sometime this year the glut will turn into a shortage. Prefer stocks to leveraged ETF’s. Bought 2 Canadian Heavy oil stocks today. CVE Cenovus and Athabasca Oil Sands. together they control 70 % of heavy oil production with extreme leverage to the price of oil. Stocks decimated. SHould be interesting.

  38. allthatglitters

    Yowza, gold looks like it has even less upward momentum towards its current 1260-ish resistance than it had when it failed 1300 resistance. Looking weak as hell.

  39. dboz

    2 billion in paper sales in a single shot at 4 am into a light buying day tends to do that.

  40. zkotpen

    RetireYoung

    “Yes, classic movie. I am curious on your thoughts about the wave patterns.”

    “The correlation matters too? Ups and downs in miners in theory should be larger than in gold which leads to not being directly correlated as the miners go over and below goldโ€™s price changes.”

    Wave pattern is in the cabin teetering on the edge of an abyss scene from The Gold Rush. And you see how that resolves itself. I like how Big Jim McKay & the Tramp team up to achieve success & wealth. That is my idea of how the strange, confusing world is supposed to work.

    Think about it: If Black Larsen had gotten the Tramp to help him find the mother lode, do you think he would have shared the wealth?

    I don’t think so either. He’d have tossed the Tramp under the bus, kicked him to the curb, and then left him for dead.

    This one says gold is off to the moon, any moment now. That one has been calling for an imminent collapse, for months.

    I say the squeeze continues. USDJPY seeking a DCH; gold seeking a DCL; miners somewhere in the middle…

    Which theory is that about gold and miners correlation?

    The correlation coefficient is right there on stockcharts, tradingview, and probably all the other charting services by now. I don’t use any theory in determining correlation.

    The real trick is figuring out what to do about it, as the correlation goes up and down.

    If one is lost in some theory of what should or should not be correlated, they’re not even entering that discussion.

    I find that unfortunate, as it is an interesting discussion.

    Ditto for “the dollar”, which has limited value for me — it’s on the finviz currency summary page, and that’s enough to give me a vague idea — therein lies the value for me: Greater than zero, but limited. If that summary temps me to explore “the dollar” any further, I will dive into some currency pair or other. I look at it as a very, very broad notion. A vague idea has positive value for me; if one tries to extrapolate a vague idea without due diligence, there is a strong possibility of the slight positive value becoming negative — for me.

    1. RetireYoung

      Thanks Z. I’m trying to figure out trends in miners gold correlations. Looks good long term not so much short term. Interesting that miners have had down years with gold up but have not had an up year with gold down.

      I’ve read countless technicians pieces on gold. Almost all are bullish. Anecdotally does that mean it will do the opposite? I understand sentiment is not extreme either way and we’re not at a top or bottom.

      I see the lower trendline on GDXJ. Watching yen, dollar, oil, crb, etc. Currently thinking GDXJ down short term.

      I want to believe.

    2. Bigdaddy

      Z, I can not figure out what in the hell you are talking about. You alway talk in riddles or is it some kind of secret code? Don’t answer because it will be just more mumbo-jumbo anyway. I am going to bed.

  41. zkotpen

    Amazon has been in business for how many years?

    I have just figured out the meaning of the name “Amazon” — I guess I’m slower than most folks. The only thing I do fast is walk. I had thought of “Amazon.com” as arbitrary, sentimental, or nostalgic.

    But it’s a perfect metaphor. Brilliant!

  42. Dday

    Posted the other day, the dollar has by no means finished its selling spree… Wait till at least stochastic reaches oversold, macd only just crossing. Paves the way for gold….(for the moment of course)

    https://invst.ly/47839

    1. Nada

      Lol, it was not a “fat finger”. Do you really think someone dumped that many contracts by mistake? I am beginning to understand why some folks despise goldbugs.

      1. Gary Post author

        It didn’t even happen during the heat of the day when one could possibly make that kind of mistake. It came in the middle of the night when nothing was happening.

        Maybe that’s the excuse they will use to try and avoid fines for manipulation. “Oh it was a mistake”.

        1. ARends

          Gary, that is London/EU day time stock exchange where also lots of money flow, make no mistake

      2. Dday

        Not a gold bug nada, I buy DUST when appropriate just as NUGT, Dont really give a rats arse which way gold goes….. I guess buy gold bugs you mean 100% its going up all the time, agreed that is a dumb philosophy….lol

        1. Nada

          I was not implying that you are a goldbug. I know you read that it was a fat finger on the internet, so my point was that goldbugs will use any excuse to see this as a “mistake”, because in their minds, gold should be trading over 2000. You can see this mentality in action on tradingview gold discussion room or any ST related gold ticker.

  43. dboz

    I bought some JNUG premarket yesterday. I still think it’s very possible that gold could take off from here and surprise everyone. Volume is pathetic in miners. They stood up well to the dump yesterday. Everyone expecting a big down draft. Lots of shorts. Bullishness dropped after yesterday. Could be a lot of short covering and chasing coming soon. We may have witnessed a stealth accumulation over the last several months. Open to both directions.

  44. zkotpen

    Bigdaddy,

    Did you want the summary page from my journal?

    That’s not a freebie, my friend.

    1. Bigdaddy

      Z, thanks but no thanks. I asked my wife to read your stuff and she couldn’t figure out what you were talking about either, so it ain’t just me. Do you know how to speak in plain language for us normal folk?

  45. Gary Post author

    I cautioned folks last night not to jump back into DUST just yet. I didn’t think they were done whipsawing the sector yet.

  46. ARends

    Interesting Steve Morten, tech analysis thinks this dump yesterday, could mean short exchange for longs. He believes it counteracts the bear move down to with the bounce to possibly become bullish with a target of 1275. Does this mean they may aim to skip ICL or just bigger bounce? So again I must sell Dust for this risk and just keep loss after loss counting on this down move, that might blow up in our face. Or is this another obvious move by clever money for confusion. https://youtu.be/hfceYkq0Rcg

    It seems to short as Gary said they going to F..our minds and we just need to wait for a bottom as miners seem to have become totally independent movers in short and medium term since January.

    Do we have to wait for the bottom and really see if miners follow at some point? (probably least risk as we see huge divergences at all levels before we broke)https://invst.ly/47a8z

    Can a person be sure where you need to persevere in any direction, unless its a bottom?
    So in this market can you be sure that ICL will actually happen in gold and considering January what point miners follow then looking at miners diverse resistance levels and if they honour then?

    What a minefield it has become since end of 2016 is just unvelieveable?

  47. Goild

    Good morning,

    I gather to jot down the fake premarket gold drop. Same as the fake mid afternoon drops.
    JNUG had quite a move yesterday showing strength.
    Hopefully oil keeps green.
    Let us see how much money we can make today.
    Beware of falling knifes.

  48. primetime

    Gary,

    Based on your giddiness and quick reaction with the minor move in gold yesterday morning and your video about bankster traps, you thought gold was going a lot lower. Premature call and rush to judgement, but you do not want to short? Your dollar call is also struggling. Hopefully this energy trade continues coming to fruition!

    Maybe you are falling for the bankster tricks?

  49. primetime

    Nada,

    Did you get dumped by a really hot gold bug in the past you used to date? Just asking.

    1. primetime

      Let go of the rage, you sound so angry. If you have a heart attack you will never make any money in this market!

    2. Nada

      Nah, its the mentality is what I find irritating. However, mostly I made the comments in jest. Cheers.

      1. butch

        Yes, Nada these Gold Bugs are always looking for “reason”s why gold will soar. They refuse to believe what they see. The reason 95% of these traders lose.

  50. Steffmeister

    “…thinks this dump yesterday, could mean short exchange for longs. ”

    mmm, the LOW for GOLD may be in !? I am analyzing miners to get a clear view and yes things do look good imo.

  51. dboz

    Looks to me like the bankster trick is being played in oil. Can’t get above $44. Until it breaks $45 still TONS of risk to the down side IMO. Lots of selling on strength.

    1. Steffmeister

      relax dboz, a very skilled EW analyst from Sweden says that we will turn around soon in oil, very soon, just a small wave left …

  52. JJHarmen

    The “multi-week rally for the USD seems to have hit a snag. That can’t be a bad thing for gold .

    1. Nada

      Remember DXY is a basket of currencies and the weight of the Euro in relation to that basket is what is pulling the index down. The euro moved higher on hawkish comments from Draghi; which is absurd. We all know the ECB and BOE don’t have the balls to hike.

      1. Nada

        With that said, USDJPY is what you better be paying attention to. 115 seems to be screaming “tag me”.

  53. JJHarmen

    The “banksters” didn’t have much luck driving down the miners with their big dump of paper gold yesterday. Maybe they will have to double down on their manipulations.

    1. Christian

      The 60 minute chart looks extended.. we’ll probably fill the gap and then drop into an intraday correction.
      OIL looks poised for a solid bounce.

      1. bluelagoon

        Agree Christian – I think the DCL occurred last Wed….and oil is poised for a nice bounce. Question is whether there’s a better price to be had with the oil report shenanigans tomorrow.

  54. allthatglitters

    Gold clearly has about as much upward rocket fuel as a defective tea cozy on the clearance rack at Michaels. Right now it’s hovering solely on the most powerful fumes known to man: denial. Those will burn up soon and Gold will start dropping into the ICL Gary has been talking about for some time.

    1. Christian

      Haven’t decided yet. ERX is still trading within the confinement of a downtrend channel and I would rather not get overzealous just yet ๐Ÿ™‚

      1. Bigdaddy

        CHRIS , Ok. i will hold off on buying more. Do you think that we have finally seen the bottom for crude though? Gary has called for a bottom so many times that i am not sure we really have the bottom in place. What is your opinion? Thanks.

  55. Bigdaddy

    It seem s like everyone and his dog is saying that the stock market is due for a correction. How can that happen if everyone is expecting one? Stick with oil friends. my sources told me a while back that crude would be up big by the end of the year.

  56. Ed

    All in miners especially in Junior miners. Sold last Pos in FAZ this morning. All I am watching from here on is USD (DXY). I am not even watching USDJPY because that’s another tool CB uses to mask their panics.
    I watch 10 year bond yields because that can be competing with gold. And hoping Gary and some of you crowd are wrong on dollar๐Ÿ˜Ž

  57. Nada

    Just an FYI;

    In regards to Gary “throwing down the gauntlet” challenge, I sent the below trades in right after they were triggered;

    GDX 23 puts exp August 17th 2017 100 contracts @ 1.13
    (100×1.13×100) = 11,300

    XBI 80 puts exp Sept 15th 2017 100 contract @ 3.95
    (100×3.95×100) = 39,500

    While it was not stated when he issued this challenge, he replied back and stated that options are not permitted. This makes no sense to me as now there are restrictions on what type of assets you can trade. However, it’s his rules, so I have to respect that. I don’t trade anything but options, so I am not interested in equities.

  58. Don

    Another day with the tech stocks down and the S&P stubbornly remains within a half percent of it’s all time highs. No machine trader wants to be in cash with money moving quickly from one sector to another.

    1. dboz

      We will find out today. Right at resistance. If it turns down here today, we have a lower low coming IMO. Need to get 45.08 for sure, but higher from 44.30 by EOD should prove good. Of course big news coming tomorrow.

  59. butch

    Gary mark me down for a mythical 10000 ounce gold short at 1248 with a 1258 stop for entire bankroll.

  60. Bigdaddy

    Can someone please explain why GUSH has been doing so well while ERX lags so badly? i don’t understand.

    1. HomerJ

      Bigdaddy…. oh man….. They both suck, so “doing so well” is a relative term. Did you, just for fun, even try to see what the fuck these money-raping 3x ETFs track?

      GUSH tracks Oil and Gas sector indexes while ERX is just Energy (Select Sector XLE) indexes.

      I keep telling you: KNOW WHAT YOU ARE TRADING and you refuse to do so.

  61. Don

    BD: Without getting into the structure of ERX vs GUSH, GUSH is down far more than ERX over the past month, being down 23% and ERX down only 8%. It would appear that GUSH is much more over sold that ERX and now playing catch up. It should be noted that in the past month, energy has been the worst performing sector. Hope that answered your question.

  62. Don

    The dollar (DXY) just made a 7 month low. I guess that finishes “the dollar is going to rally” narrative. One would think gold and silver would be liking the dollar weakness.

    1. Nada

      The dollar index did not make a new low. The low is 96.32 from June 14th. I don’t think it finishes “the dollar is going to rally”, we are just delayed due to the Euro.

  63. dboz

    I am watching this one. If support breaks, bad news. If we get a bounce, time to think about a bull run. To me, this chart expresses what Gary has mentioned and does show an ICL with an undercut low after 3 DCL’s. I don’t know enough to take it further but it sure looks like it fits the criteria? Using this one as a clue to which direction we may be about to move. Should move up to test resistance in 3 weeks if it bounces? Above that, break out potential?

    https://www.tradingview.com/x/kV08q0PA/

  64. ras

    Looks like bio and pharma are done for a while. Non ferrous metals perking up. oil/ngas trying to perk. Nice white candle on dust. Seesaw between dust and nugt again?

  65. Goild

    It is difficult to make money going long on bad days.
    I am about flat, at some point I was down $2K.
    We will see how we finish the day.
    Hopefully OIL keeps pumping up.

  66. Bob

    I think it’s all uphill for JDST. Gold couldn’t get a rise while the dollar dropped to a new low. It just wants to get down.

    1. Nada

      I agree. The correlation is more about the yen than the dollar. It’s not that the dollar is extra weak today, its more about the euro strength on hawkish talk from Draghi. As you can see, the carry pair USD/JPY shows that the dollar is still strong in comparison to the yen.

  67. RetireYoung

    Looks like a good place to stop and drop for GDXJ to me. Right at the trendline from the February high to the June 14th top.

  68. Goild

    This looks like a full bad day.
    Let us wait for the safe to fully fall, break, and then pick up the riches.

  69. bluelagoon

    Oil is up and Biotech is down, as I predicted yesterday. Let’s see how far this goes…..it really is looking like these are starting a new DC. TQQQ also continues down as predicted…..will see how it looks beginning of July as one is usually safe to buy TQQQ for a July recovery.

  70. Nada

    Sold 100 contracts of XBI at 4.80 from 3.90. Profit = 8,500.00. This was the trade I sent Gary yesterday, but that was not permitted due to it being an options trade.

    1. Nada

      Correction, sold from 3.95. Profit of 8500 is still the same value. I just typed 3.90 vs 3.95 by mistake. Cheers

      1. bluelagoon

        Nice win Nada. Why didn’t you hold longer? Looks like there would be more upside for you?

          1. bluelagoon

            Thanks Caza – I must’ve written down the wrong day – no wonder the moves around then.

  71. allthatglitters

    Well done Nada. Great trade, and you are wise to take that kind of made-in-one-day money off the table

  72. bluelagoon

    I mentioned SHLD last week. Someone said it was not worth trading because it would go bankrupt. I suppose that’s a risk but it’s up 20% from last week.

  73. Goild

    Earthkitten.

    Yes, I am glad for you.
    I noticed that the LABU drop correlated with the SPY drop.

  74. SLEP

    Goldfinger will eventually win out against Fatfinger, and Silverfinger will eventually win out against Ficklefinger. ๐Ÿ˜Ž

  75. earthkitten

    Quote from Janet Yellen. “A financial crisis is not likely in our lifetime.”
    Kinda reminds me about a statement about the Titanic being unsinkable.

    1. TraderPete

      You got that right. Who is she trying to kid? What an idiot. Does she have a crystal ball? I can guarantee you that we will have a financial crises in our lifetime. It is a certainty!!! ๐Ÿ‘

  76. Bigdaddy

    Crude is up over 2% and ERX is not even up a half percent. That’s piss poor performance for a triple leveraged fund. meanwhile , the one that I used to play, SQQQ, is going up like gangbusters.

  77. Jimsee

    Gary – Rules on contest question; can we use options for leverage or just buysell gdx/gld/jnug, etc…?

    1. Gary Post author

      Not everyone can trade options so shares only. You can use triple leveraged funds.

  78. Jimsee

    with GS bullish heading into mid july on gold, I’m buying puts, seriously, a small amt but do not disregard this valuable indicator.

  79. Nada

    I wanted to update; Gary is going to permit the transfer of my options trade to 3x leverage. I am going to miss out on a big % of the profit, but the rules are what they are. What a beautiful drop in bio today ๐Ÿ˜›

  80. bluelagoon

    Don – there’s your S&P drop along with Nasdaq. I was noticing yesterday that SOXS was hovering around $28 and not heading down as usual. That combined with the impending TQQQ drop should’ve alerted me to make the trade yesterday but I was busy with bio and oil. ๐Ÿ™‚

  81. TraderPete

    Aah-ooh! Dennis Gartman is bullish on gold. You know what that means. Gold is going down the toilet! ๐Ÿ™‚

  82. jake

    Is it Gary spending all his money on vacation causing the $ to fall, looks like its heading for 95.35

  83. KHT

    Bought 1000 DSLV just before the close at 26.592

    DSLV CS VELOCITYSHARES 3X INVSILVER ETN
    Get a Quote
    Action Quantity Price Timing Time & Date (ET)
    Buy 1,000 Shares Market Day Only 3:57 PM 06/27/2017
    Bought 1,000 $26.592 Settles 06/30/2017 3:57 PM 06/27/2017
    CLOSED Filled

  84. bluelagoon

    Does anyone know how to find out when the healthcare vote takes place? I just realized they announced the delay just before 2pm today and that caused a move in bio of course. Would like to know when the next one is.

    1. KHT

      I just read that McConnell delayed the vote until after the july 4th recess. Exactly when, I don`t know.

      1. Gary Post author

        And this is exactly why I’m staying away from the biotech sector. I’m going to choose to possibly underperform and just stick with QQQ or TQQQ. Better safe than sorry.

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