Everyone always has a very very short memory when they loose money, but they seem to be invincible when they make it effortlessly. We are here to remind everyone what is really going on, the emotions you are feeling, and the thoughts you may be having. Certainly this isnt the first time this has happened.
We are in a COMEX expiration on Tuesday. That being said, 11% is a little off the charts, and I commend Captain Masters. Clap, clap.
Need to make a few things clear. Here at SGS, we stack PHYZZ. We buy going up, we buy going down, we buy going all around. Price is virtually meaningless to us. I notice a ton of complaining from people that are trying to trade the paper game. And I notice NO complaining from people who hold the phyzz.
Quite the dichotomy we have here. People are happy and sad but they are holding perceptibly the same thing-yet its so far from the truth.
Here is the formula, and I will repeat it again, and again, and again.
Stack Phyzz, put it away, and pretend it doesn't exist till you need it.
Trade options, juniors, and netflix (lol-I am actually getting very short term bullish for a quick trade on this pig by the way) to make ends meet, or whatever you choose to do with it I dont really care.
Just know that the more you stack the phyzz, and the more you get away from the charts, calls, picks, and ticks, the more healthy you will be in the mind. An inner peace knowing your stash is stashed and you are 'okay.'
Some of my trades are winners, some are losers. I try to mitigate short term pain (bad trade) with an options 'insurance' calls or puts. I keep it simple. For instance, yesterday after the announcement of no printing and twist commenced, the market gradually started to sell off. I am long SLV calls at the $40 strike Jan 2012, I have lots of time for these to get in the money(unless the people catch on that its a fraud then it will go to zero). So instead of dumping them all and paying commissions to those assholes, I simply hedge. I bought calls in the VXX, knowing full well the market would get obliterated. Did I know that silver would get pumped at 3 am along with it, and then again when the COMEX opened, (yes), but no lol-let alone 11%, of course not. If I knew that I would have bought 5 million PUTS, and I would have shut this blog down bc I would be on a fucking Island that I own for the rest of my human life enjoying grapes and coronas. My hedge, worked out to net 101% overnight and I exited the position around 3 pm. Thus, I did not lose anything on the SLV 'loss' I still hold. If you cant comprehend what I am talking about, but you are trading the things we are talking about and what others are trading in the comments section, I would advise you to stop-immediately. That will land you in the poor house quicker then putting it all on Red 16 on the wheel. Take it slow. Also, I have some people asking me to post my positions. That will be counter productive, as I am a lightening trader on 80% of my trades. By the time I post it, it may be gone already. For the longer term trades, I will do this on the new site.
The best advice I can give is this; take it slow. Stop trying to hit a home run when you are still in the minors. Wait a little, gain that experience and you will start hitting some good trades. The market will be there tomorrow. Its not going anywhere. There is NO rush. Secondly, Gold and Silver are the anti-crist to central banks. The volatility going forward, like I have mentioned several thousand times....wait for it...it may not be for you. If you have trouble sleeping, you are not trading, you are gambling, and you certainly have no idea why you are in the precious metals to begin with. You are speculating. You will get shaken out, you will loose your bankroll, and you will never 'play,' 'invest,' or 'trade' gold or silver ever again and blame it on the weather before you blame yourself for your failures. Get educated. You can start educating yourself in the new site. Although it will be slow with info, the educational tools will pick up as more and more advanced traders on here lend a helping hand to the new comers.
Lastly on these issues, if you are still confused as to what is going on, where this is all headed, and what you should be doing, please read todays Golden Truth Article. Click here entire article ...
Onto the metals.
I would first like to point out that Sprotts premium to NAV is 24.38%. The market is obviously telling us something with this product.
Is there a reason silver got smashed today? Sure. Again see the link above, but my insiders are telling me the heat is on at the JPM offices to cover those contracts. 11%. Seriously? I mean it was for the most part a leader by 40% loss than 80% of all the other comods. Really? THe little silver coins? Really? Does supply and demand drop that quick?
If you haven't guessed yet, the silver trade is the epicenter of this entire financial disaster thats looming ever so closely. Bets are made that could send shockers (thumb in butt) throughout the worlds markets. The tiniest little silver market has turned into the biggest trade of this decade.
If you are looking for some additional answers, or crystal ball solutions, I can only offer this: Take a break from the markets and especially this trade. In time, whether that be in November, March or whenever, this will all be in the past. Nothing has changed. I remain a buyer of the physical metal, at any price on big red days like today. Consider them gifts. Could we see $20, $5, $17.38 again? You bet. I am waiting for them to get there? Not a fucking chance. I will buy 20 monster boxes at $30 before I'd wait for $20.
Again, look for my twitter feed at silvergoldsilve or silvergoldsilver, not too sure why some of my posts are on one but not the other.