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!
Foo
Front9 Trading, LLC 