The NEM Lead Indicator Is +0.23% Vs The XAU Right Now
The NEM Lead Indicator is a slightly bullish +0.23% vs the XAU right now, which, combined with the fact that NEM/XAU barely missed (NEM hit 40.84) filling their downside gaps at 40.83 (NEM) and at 122.06 (XAU) (created last Thursday) early today, which could be a bullish sign, I'm not long XAU Puts. The fact that reliable
lead indicator NEM may have hit a very important cycle low at 39.84 last Wednesday, right at it's Secular Bull Market/very long term upcycle trendline (on extremely high volume of 17.52 million shares), and, that XAU Implied Volatility spiked to 41.075 yesterday, are two more important factors behind my caution in trading Puts/short right now.
A vicious multi week decline, similar to the one that occurred from 5-11-06 until 6-13-06 for HUI/NEM/XAU, began on 9-6 for HUI/XAU and on 9-5 for reliable lead indicator NEM. Wave C down/another brutal decline began on Thursday 9-28 for HUI/XAU, in which Wave A of their Cyclical Bear Market since 5-11-06 bottoms, probably in the 100-110 range for the XAU. For recent action see http://finance.yahoo.com/q/ta?s=%5Exau&t=5d&l=off&z=l&q=b&p=&a=m26-12-9%2Cp12%2Cfs%2Cw14&c=. ....... http://www.JoeFRocks.com/
HUI NEM XAU
lead indicator NEM may have hit a very important cycle low at 39.84 last Wednesday, right at it's Secular Bull Market/very long term upcycle trendline (on extremely high volume of 17.52 million shares), and, that XAU Implied Volatility spiked to 41.075 yesterday, are two more important factors behind my caution in trading Puts/short right now.
A vicious multi week decline, similar to the one that occurred from 5-11-06 until 6-13-06 for HUI/NEM/XAU, began on 9-6 for HUI/XAU and on 9-5 for reliable lead indicator NEM. Wave C down/another brutal decline began on Thursday 9-28 for HUI/XAU, in which Wave A of their Cyclical Bear Market since 5-11-06 bottoms, probably in the 100-110 range for the XAU. For recent action see http://finance.yahoo.com/q/ta?s=%5Exau&t=5d&l=off&z=l&q=b&p=&a=m26-12-9%2Cp12%2Cfs%2Cw14&c=. ....... http://www.JoeFRocks.com/
HUI NEM XAU
posted by Joe Ferrazzano at
12:02 PM
