I was listening to, of all things, NPR last night. I like to listen to them because with their general prgressive skew, its very interesting to listen to them when they comment on “the economy” or “capitalist”. It makes me think of a 12 year girl sifting through the “icky” garbage to find her retainer. She really doesn’t want to even talk about it, but she has too, or her parents will have to cough up another 300 bucks.
I was amused, then, to hear NPR talking about all time highs in Gold. They mentioned that the “real” all time high adjusted for inflation, was 2300.
One of my rules is to fade national media. Especially a media source that can hardly be described as ‘pro-business’. NPR, while not communist, seems to look at capitalism as a necessary evil churning away behind closed doors, giving their contributors a means to earn money to donate to them during pledge drives.
So, long story short, buy some gold puts.
I am still looking at the stock indexes, for opportunities to sell it. I will continue to look to sell new highs, with stop protection, and then look to scalp profits on corrections lower.
In the grains, Corn posted a key reversal day. A fancy way of saying it made a new 2 year high at 605, held it for all of 90 seconds, and then turned around and melted 34 cents down to 571. Over night, it slid down to a new low of 569 1/2. On the charts, the gap below is 542 3/4 down to 528 3/4. After all, corn did rally 1.50 from its October 4th low at 454 1/4, (the day china did its 1/4point rate hike). I like 547 1/4 as a target, and 529 1/2 (Really want to buy it here) and then 511, on a further wash out.
I would want to remain long beans, however, beans too are vulnerable to a 50 cent or dollar break. A slip lower could open the door down to 12.22 3/4 or 11.88 after a 2.91 cent rally from that Oct 4th low at 1042.
good trading.
