HUI Lewis

Thought I’d post something about the Gold trade, but focused on the miners.  What I really like is the fact that CNBC, Bloomie and everyone else is screaming “overbought” on gold, just when we are nearing a potential moon shot higher.

If the dollar continues to devalue, as it most certainly will, we could see gold, silver, and the miners thrust even higher.  In fact, today we saw a record close on the HUI Gold Bugs Index, after failing at 500 so many times (5).

We are most likely now in a runaway move, and that will be confirmed with a close above 520 on the HUI.

You can play this with GDX, GDXJ, AGQ, GLD and others, but my suspicion is that gold and the miners are the only space that funds are being “protected” by the falling dollar and worldwide currency race to debase.

Trade the extremes and manage appropriately!

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About thefront9

Independent trader with a flexible approach to the markets. Position trading, swing trading and day trading using Futures, Equities and Options. This site is intended to help others (and myself) see what I see and to stay true to the discipline of making trades at the extremes. Contrarian and TastyTrade addict! Living in Texas with my family, helping others and maybe playing some golf from time to time makes life busy and great. Add a little music and humor and that just about sums it up. Trade the extremes and manage risk.....always!
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