A Small sample from Rambus Friday Night Charts post.

“There is another PM stock index that has a lot of history which is the $GDM, gold miners index. One interesting fact on this long term monthly chart is the 2000 H&S bottom and the 2011 H&S top that are exactly the same height. You can see the 2016 bullish falling wedge is a little further along by about a month vs the HUI and the XAU which are in just the first month of breaking out above the top rail of their 2016 falling wedge. To put our current 2016 falling wedge into perspective it is just the sixth consolidation pattern to have formed in the last 25 years, three during the bull market years, two during the bear market years and our current falling wedge.

When you look at all the different consolidation patterns that have formed over the last 25 years or so do you think you will the patience to be able to ride out those corrections in real time? I can tell you that it is a lot harder to do than most people think. Hopefully the PM complex will give you a chance to test your patience once the next impulse move up is finished. My game plan will be to keep a core position but to try and trade as much of the impulse move as possible and try to exit as close to the end of that impulse move as possible with the trading part of the portfolio.

Corrections or consolidation patterns can be brutal and your emotions will come into play at usually the very worst time selling when you can’t take the pain any longer only to see the move you were looking for take place without you on it. Knowing what the big trend is can help keep you focused on your game plan. It’s when we lose sight of the big trend is when we get into trouble. In a bull market if you don’t have a good entry point the bull market will save you as the price action will eventually rise above where you bought in. Interesting times ahead. All the best…Rambus”


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Fully’s Personal Anecdote

I was a raving Gold Bull maniac back in the day….starting in about 1994 . I got lucky to hitch a ride via my broker on a few Gold Explorers during that BreX mania….but of course gave it ALL back and then some.

Lesson learned ? Nope !

I stayed in the market for another 5 lonng painful down years and then .. rode the 2000 bull all the way up and all the way back down in 2008. That was devestating i can tell you….but lo and behold the mother of all V bottoms saved me …Rode it all the way back up into 2011.

Thats when I hooked up with Rambus . He was seeing another potential top develop. See the H and S Top on this chart circa 2012.

I though he was nuts at first ( like I did when he warned us back in 2008.)

Then My PF started to drop percipitously. I had 50 Gold Stocks. When Rambus’ 2012 H and S top neckline broke. I held my breath and sold them all ONE Day. He said this time there would likely be a protracted bear market because that H and S Top was so well developed.

Then look what happened.

I will never trade the Gold market without keeping an eye on Rambus Charts. He saved my ass.

THIS is one tough market. never forget.