Direxion Daily Gold Miners Bull 2X (NUGT)

[michael03332002]

there could be a fear factor of some mines shutting down until

price of gold and or silver comes back up

demand is still very high for the physical and I dont think enough

attention is being paid to that, after all the mines are in this

for one thing and that is to sell physical and I dont think the

powers that be can keep shorting this below production cost or will

or that would be counter productive. With demand so high, the lower

the price goes the more that is bought so the paradigm exists

which you end up shooting yourself in the foot the lower you

drive this as there is something physical that is demanded....


I think you see this dragging the bottom sort of moves maybe

into next year with slight upward movement but we still have

to recognize facts which are the POG can be assertained by

things other than actual supply and demand but those that wish

physical can only be had 1 way.... If the supply is outstripped by

demand because of continued lower pricing, then you have an

imbalance. The only way in my mind this downtrend can be sustained

is if demand slows down but every time the price lowers demand

picks up and that is a powerful force we all seem to neglect...

Charts, trends, resistance and support or just part of the

picture but I can tell you if there are more people wanting

gold or silver than is supplied in the price range, either they

change or increase the difference in spot to buy price OR

they raise the price.....


just my take


M