The market took a whack on the head today that left us with no new longs to take under today’s sun. However, there does appear to be a very bullish condition setting up in silver and gold stocks. Besides those stocks coming off the lows on strong volume and green BOP, the futures are now starting to trend higher with Gold over the 50 and 200 day moving average. So I would definitely be watching Gold stocks for future longs in the near-term. I am not sure how long they will take to setup but I know they are moving towards proper setups in stocks like RIC, IAG, SLW, AUY, ASA, ABX, JAG, etc… . Besides Gold and Silver there are a few other stocks out there that COULD be future longs. But the way this market is looking I am just not that bullish on them UNTIL they actually setup and breakout of a pattern similar to AIPC in June or ANCI (XSI) in June and August. If Gold/Silver stocks are not our next batch of longs maybe LZR, SXCI, CHG, BPBC, OCN, AMSF, KIRK, JJSF, GB, NBTB, PW, PLAB, MTU, ROCM, TCL, CFL, ENSG, INFI, ESI, AVAV, TOWN, or MFE will be. I really miss those 1999 and 2003 (they existed in every year but a TON existed in those years) markets that produced those near-perfect to hot and perfect charts. It looks like holding cash and not taking new longs will be the call this week. We will see…
new long positions: none
none
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