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.

Gold/Mining/Energy : Gold Price Monitor -- Ignore unavailable to you. Want to Upgrade?

To: Enigma who wrote (18093)	9/8/1998 4:25:00 PM
From: E. Charters	Read Replies (1) \| Respond to of 116900

Buy on the down fall and keep buying lightly. Don't do it in stock as the stock fall offs unless there is rebound potential are for a long long time. You don't do this to a spec explorer as their cycle time can go to a year easily. Look at the cycle time. The peaks. With regular cyclics as in wheat and hogs you can do it if your contracts are arranged past cycles and you get in and out and straddle when there is jitteriness. Buy puts to hedge and buy the commodity. Hedge. Read your Black and Scholes. Gold is a regular cyclic with short and long times. Bet some investment money on the long cycle and ride the short with dual directional derivatives. Gold has an eight year cycle and a good 3 month and good 8 month cycle. It also bounces 5 bucks evey week or two. Perfect bouncer to shave points on. Shoot when you see daylight. Right now we are probably near the botton of a cycle with volatility indicated and market forces upward. Supply is 20 year low, and demand while moderate will increase from four or more sources. Small and large traders, Eastern Europe, Europe, Russia, and a bit from Asia. Market swings are low and commercials are long net. Looks like a three month up trend. Hedge. EC<:-}