Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Classic TA Workplace -- Ignore unavailable to you. Want to Upgrade?

To: Shack who wrote (19230)	11/2/2001 8:47:45 PM
From: At_The_Ask	Respond to of 209892

On a fundamental note I feel that when this rally in the equities falls apart gold shares will benefit. The majority of speculative longs initiated post 9-11 have been sold at loss(panic buying=dumb money). Returning shares to the people who sold them post 9-11 in the first place (smart money). When shares are distributed in such a manner a rally is usually not far behind. The opposite situation applies to the equity indexes IMO. Gold began its latest move when the ndx began topping out so I believe positions have been established that will not be sold until much higher levels. Although many of the issues I follow appear to be in B waves of a corrective sequence; I've been trying to not outsmart myself by "fighting the tape". The key big picture thing to remember at this point is that the paradigm has reversed itself and a bull market for gold is underway while a bear market for equities is at hand.

To: Shack who wrote (19230)	11/2/2001 9:00:49 PM
From: John Madarasz	Read Replies (1) \| Respond to of 209892

not to mention wrong way small specs have doubled their net long position in gold from last week... commitmentsoftraders.com

To: Shack who wrote (19230)	11/3/2001 5:08:14 PM
From: John Madarasz	Read Replies (3) \| Respond to of 209892

Shack...to bullish too quick on those small specs, i agree. One thing has me bothered about your chart though... If your count is correct on the hui, the next move down will crack the neckline pretty good, and that formation measures a move to 50.4 My only rational out of this scenario is that gold is indeed in a bull market, where H/S formations and rising wedges break up and out often, instead of making their measurements like they would in a bear market. I think A LOT of people miss these distinctions... a couple more points i'll take the time to make since it's a weekend, and maybe they can help others... 1) In a bull market, bullish formations should take precidence over bearish formations, and bearish formations usually lead to mild pullbacks and consolidations, rather than breakdowns 2)Opposite for bear markets, this is why the H/S formations that were so unreliable for the last 7 years are now following through and making measurements, and rising wedges are rolling over and setting up into those same h/s patterns...which invariably breakdown (this is happening in tech as we watch again 3)look for, and Draw, bearish formations AT MAJOR RESISTANCE points, not the middle of a move up 4) look for bullish formations to form and resolve AT SUPPORTS... not the middle of a tank, or move down guess we'll just have to watch and see, ($ means alot to me too, here, on how i play the gold's... as i've mentioned innumerable times<g>) thx for the chart, hope the weekend is good. Late...