Tuesday, December 31, 2013

Copper miner's ETF breaks out.

While gold and silver charts are literally looking like a back alley brawl, COPX (Copper Miner's ETF) has quietly broken out of resistance.  It's no coincidence that TNX put in 5 waves recently.  The fed very well may be on the verge of losing control of the bond market.

Copper is not going to break out on its own.  While copper is not a monetary metal, it is very "flation" sensitive (whether it be the de or in type).  I'd buy COPX on any pullback.  If it back tests the Resistance Turned Support line from above, and holds support then watch out 2014 because inflation is going to increase prices on things.

If COPX breaks the top green line in Q1 then I predict $6-7 milk by June.  I hope the liberal and GOP a-holes who thought you could endlessly spend debt and never have it cause problems look in the mirror when it all goes down the toilet.  They have only themselves to blame.  IF only they hadn't laughed at Ron Paul.

Look at that inclining double bottom folks.  That is how significant bottoms are often put in.  This is why all the crap stocks have been rallying.  We are at the end stage of this stock market boom.  It always has to get crazy at the end.  Here's a video interview for you of Gerald Celente.  He's a smart guy.  Don't let his sometimes over the top delivery put you off. 

S+P 500 topping watch continues.

I've been on S+P topping watch for the past 2+ months.  The top has eluded me.  But the character of the chart seems to be getting more nervous.  We are also at another potential ending diagonal 5th wave.  Usual ending diagonal rules apply.  If it can do a little breakout throw over, touch the top green resistance line and then fall back through the top and then bottom lines of the diagonal then it will be a clear sell signal for anyone watching the charts.  Shorting the S+P at today's price of 1844 with tight stops seems like a good risk-reward scenario given the shape of this chart.

The fake, fed-driven valuation of the stock markets will evaporate at some point just as quickly as it was breathed into being by the fed.  The fed giveth and the fed taketh away, but only after the elite have squirreled big profits out the back door while the pension and 401k funds of the common man are used to bid these indices up to Ponzi prices.  Before this Ponzi is finally over, everyone will be cursing the day they ever put one dime of their wealth into these fake paper assets.

The action in gold and silver is getting kind of crazy.

Volume has picked up in the highly leveraged USLV ETF.  Also, suddenly huge blocks of recent data are missing from the chart.  I find that these "glitches" always seem to favor the house.  When they provide the most clarity, that is the time you need it the least.  When they provide the least clarity (like getting rid of the M3 data, changing the way CPI is calculated, changing the way unemployment is calculated) then those are the times to be extra aware of what sleight of hand the con men are up to.  I've been asking for capitulation volume on the metals.  The chart has not indicated for sure that the bottom is in but other indicators like volume and like crappy stocks getting play suggest that the bottom in metals cannot be far off.  As usual, those with a dollar cost averaging strategy will end up winners here.  Dollar cost averaging into something of real value like physical metals is how a king and a rook can always checkmate the evil, lone, rogue king.

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