Loading ...Shakeout OR Consolidation ?
Rambus had a Great Wednesday Report Tonite
It was Short and Sweat ( pun intended)
( for Members Only)
This post inspired me to revisit a period in time that I and many here participated in this PM Miner Market
This is the HUI Bull of 2000 to 2008
I had NO clue what a chart was back then and when I heard about TA eventually my first reaction was
More Bullshit !
But I soon got Religion ( see Near Death Experience) and have become a Rambus Chartology Disciple
Now after 5 gruelling bear years , Many of us in this PM TA Community believe we have just started a new HUI Bull. If so what is happening now >?
Well here is the 2000 – 2008 HUI Bull in all its Glory. We Rode this thing with our eyes wide shut and our minds wide shut too…didn’t have a clue what was happening. We only had the belief that The Monitary System was going to crash any day and PM Miners were going to go up forever. So we bought and held and bought the dips and held and went through all this and became genius traders so full of ourselves…just to lose it all in a flash .
New Players in the PM markets….. STUDY this Chart !…print it out and stick it on the ceiling above your bed with a spotlight on it…Old Players Too !
You want to get rich in this sector….? Have you got what it takes ?
(click 2X to enlarge…read from bottom left to top right)
Now back to the point !
Where are we right now.
My 2 cents…
1…This is 80% likely…Consolidation Pattern just began…we will see a bottom somewhere in here or another 10% down then a strong rally and then another horrific drop…where most of you will bail…then another rally and pause and then a new impulse move up. This Consolidation will take 6 to 12 months.
OR
2…This is 20% likely…we just had a shakeout and are going to resume up almost right away.
What do YOU think ?
OK…IF THIS IS CORRECT…WHAT ARE YOU going to do NOW ?
A…go fishing
B…trade the swings and nail them exactly
c…trade the swings and break even if I’m lucky
d…trade the swings and lose it all
e…to #$^&K with this..I’m taking my chips to another casino
f Throw Up
g…I DON’T KNOW !
fwiw
Fullgold Crown
If I owned GDX/J I would have sold long ago. Microcap juniors are a different ballgame. They will do their own thing and will be taken over or release spectacular drill results out of the blue, such as 14 m of 220 g/t gold which one of my top ten holdings released today. Some of my juniors were up today, most were down, and a couple were slaughtered. Which ones should I have sold last week? It is easy to know today… I will continue to hold my juniors until they are overvalued, taken over or hopefully sell near the top.
Is this a shakeout or consolidation? It feels like a shakeout to me but I have no clue. Options expiration and Janet speaking at Jacksonhole are never going to be bullish for PM’s. I would be more worried if PM’s were rallying into Friday to be honest.
Thanks for your posts Fully!
Very Good Point Mike. Spock will 100% agree with you on this !!!
Thanks
Rick Rule has talked about the 1994 bull market in juniors. I don’t think gold or the majors did much, but the gains in the microcaps were spectacular. I believe this bull market ended with the Bre-x scandal in 1997. There is a possibility we are in such a bull market today. If so, exploration stocks will be where the big money will be made! Time will tell but I don’t pay any attention to HUI or GDX/J, I think microcaps are the market to watch. I am not a Spock subscriber, but I think the majority of people will get slaughtered in this sector without some guidance and should probably subscribe to a legitimate service like Spock’s if they are going to take the plunge.
Just ABX and Gold for us. We will ride on till time to refill at next station. Then we take a p and ride on.
Mike….1994 to 1996….I was there
https://goldtadise.com/?p=369632
Mike, we are on the same page. I do not own anything in the GDX and GDXJ. If the mcap is around $10 million now, I get interested. $5 million and I get really interested, especially with advanced exploration assets.
go fishing 😉
Found out deep sea fishing off Panama pacific is da best. Amazing surf for da boys nearby.
Will take copies of this chart to keep in tackle box,… on dashboard, in the beach bungalow…