Replies to post #51100 on Traders Cooperative

[gtober]

Yes, there is the rub. Which comes first. I am guessing the rally first. Then, maybe later in the year we set new lows.

[ItsAllCyclical]

I'm not shorting gold here, but I do find it interesting that you're shorting gold while at the same time thinking that the DOW has an IT target of 10,000+. At least at this pt in cycle they seem like the same trade to me. If gold stocks get hit here I expect it'll be mostly because deflation is still too strong and money is still coming out of stocks too fast.

Of course I've followed you enough to know you're right more often than wrong.

I'm mostly cash here (approx 85%). I have some mid cap gold producers which are still quite a bit cheaper than their big cap breathren, but liquid enough to be bought. I have a few currency ETFs as well. I'm indifferent ST. Nothing looks really compelling to me yet long or short on a risk/reward basis. Your NEM short does look interesting, but FA wise I have a hard time shorting anything gold related. If EOD action is weak I may join you in NEM short as a partial hedge on my existing holdings w/a tight stop. Action in gold (not shares) relative to the markets and the Dollar is quite good.

[JimQuinceH]

OPNION, The 13 week cycle low is due today, tomorrow or Thursday. Whatever day it hits, a rally will follow.

Jim