I apologize for any mis structured sentences or words as I just got back from a dinner and boy did I drink. Sometimes I let loose, as summer is winding down here in South Western Ontario, the days of heat are praised while the reminder of what lies ahead approaches quickly.
After reading everyone else commentaries tonight, none struck me more then Harvey's. In particular, the short interest in the mining shares. As you know, I have taken a rather large position in SVM as of late. Days like today are supposed to pay me off handsomely. Yet my update is telling me -4.77%. Now, normally I would just shrug it off and say some asshole algo was fucking with it today. But in my experience, this tells me there is another overall equities blow out coming soon to a theater near you.
It doesnt necessarily mean that the miners are a shitty sector to be in, quite the opposite as a matter of fact, but if history has taught me anything, especially 2008, the market is still not comfortable with this 'bottom.' The market is telling us one of two things. A. They are taking money off the table in the best performing assets still, or B. There is another force here maybe in manipulating this sector.
After consulting with various contacts, they have been taking some profits, but many are actually buying at these levels as they have been beaten so bad there not be another entry this low. This brings me full circle with Harvey's commentary tonight. Lets look at some data shall we?
So the are numbers for short sales as a percentage of total volume:
AEM 48%; GG 35%; RGLD 46%; AG 42%; NEM 58%; SLW 33%; PAAS 47%
Okay fuck it. I'll give the gold bears a chance here. We are overbought. There I said it. We arnt, but for technicals lets just pretend we are for the next 3 minutes while you read this.
But SLW? PAAS? These silver plays are so overSOLD its getting dumb. Add in SVM's blatant assfucking today, and I am certain, in the near future, the motherfuckers are going to get squeezed so fast, and so hard, it will end careers in one hour of trading.
Mark my words. You will see motherfuckers that just made a mill last year begging for a call center job.
Get your battle gear on folks, we are at that $40 wall again, and when we climb it, and start sprinting over it, it will be a ruthless, parabolic-lemon-sour-grape-squeezing-career-ending move that will absolutely stun you. In sexual innuendo terms, it will most likely resemble the 'shocker.'