Crisis Mode

It just didn’t happen.  The dead cat bounce on the US dollar that we expected from today’s Bernank speech just never occurred.  And now the crisis phase begins.

Not too hard to see what a currency crisis looks like from this picture.  Gold and silver had a huge day and are gearing up for that moon shot as a result.

Looks like I’m not going to get the cheap options play I wanted but will consider moving to gold after silver hits $50 intraday.  Why?

Mainly because there’s still some room there, liquidity is greater and the miners still have much room to stretch above their 50 and 200 day averages.  Silver is already stretching beyond this level and $50 is going to be a psychological and technical resistance area.

Fun times and hope you are hanging on for now.  It’s a tough move to stay will, but the dollar signs are there (the charts) to keep me fully pegged in Silver for now.

Trade the extremes…..always!


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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