Stocks up 150 points today, silver had a good day. What a surprise

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#1 Tue, Jun 21, 2011 - 3:16pm
lilbromarky1
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Stocks up 150 points today, silver had a good day. What a surprise

I can't be the only person who notices that Ag does best during stock rallies? I notice Turd links Ag to Crude or Gold. I'm not going to dispute his logic, but in my opinion the link between Stocks and Ag is also undeniable. Go back and look at a long term dow rally that includes 9-1-2010, and look at a long term silver rally starting 9-1-2010.

If the stock market crashes silver is going to get destroyed for at least a few weeks maybe longer. It wont be until the govt decides another round of stim that we'll see it rally back, in my opinion.

 Lets not pretend this reality doesnt exist guys :)

The critical part of this is that if you wait for stocks to crash before buying in, you may not be able to even make purchases for 1 of 2 reasons

1. You will have lost your job

2. There wont be any physical in the coin stores

Therefore, my analysis is to keep stacking but dont be surprised if we get stomped when the stocks finally take a nosedive. 

Edited by: lilbromarky1 on Nov 8, 2014 - 5:09am
Tue, Jun 21, 2011 - 3:28pm
Dr Durden
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Risk on. .87 correlation

Risk on.

.87 correlation between the CCI and the S&P since we've crawled out of the hole in 2009

https://www.zealllc.com/2011/ccirisk.htm

And I agree, don't let a brief bear rally trick you into thinking it's here to stay. The casino will make its few hundred billion...only to throw it to the curb like yesterday's trash when they seem fit.

Got GIABO? "It's called the American dream, because you have to be asleep to believe it." ~George Carlin
Tue, Jun 21, 2011 - 4:02pm (Reply to #2)
No1Hunter
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Nice

Yes, i have been watching it. Makes the 5 ASE I bought this morning cost just under a dollar over spot! NICE!!!!!!

Dollar cost averaging!!!!!

Tue, Jun 21, 2011 - 4:15pm
Laurichmusic
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Think long term

When purchasing physical, you have to remember that it's not about the short term but it's about bringing your personal wealth through the other side of the economic storm. You may get rich but ultimately you just want to survive. 

Tue, Jun 21, 2011 - 4:16pm
Dr G
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Fed pressor tomorrow (meeting

Fed pressor tomorrow (meeting today & tomorrow) let's see what flows forth from the mouth of the Bernank and how the markets react to it.

Tue, Jun 21, 2011 - 4:18pm (Reply to #2)
lilbromarky1
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re

Dr Durden wrote:

Risk on.

.87 correlation between the CCI and the S&P since we've crawled out of the hole in 2009

https://www.zealllc.com/2011/ccirisk.htm

And I agree, don't let a brief bear rally trick you into thinking it's here to stay. The casino will make its few hundred billion...only to throw it to the curb like yesterday's trash when they seem fit.

Hello, that looks like a really cool correlation but I'm not sure what CCI is? Pardon my ignorance. My google searches are showing CROWN CASTLE. Again, I'm sorry I didnt know what the ticker meant.

Like my ideas? Check our blog at: https://backtobasicseconomics.blogspot.com/
Tue, Jun 21, 2011 - 4:19pm (Reply to #4)
No1Hunter
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Ultimate bartering item

Laurichmusic wrote:

When purchasing physical, you have to remember that it's not about the short term but it's about bringing your personal wealth through the other side of the economic storm. You may get rich but ultimately you just want to survive. 

That's way I also buy ammo and reloading supplies. The ultimate bartering item.

Tue, Jun 21, 2011 - 5:48pm
lilbromarky1
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Sorry gents what is CCI?

Sorry gents what is CCI?

Like my ideas? Check our blog at: https://backtobasicseconomics.blogspot.com/
Tue, Jun 21, 2011 - 7:04pm
Dr Durden
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Continuous Commodity Index.

Continuous Commodity Index. Dudes, read the article I linked to...it explains everything. 

Also tune into Trader Dan's blog as he talks about the "risk trade" quite often.

You can look at QE as nothing more than risk asset fuel. I think the markets are anticipating another Benicopter ride to new highs and traders are bidding it up early. So, risk on. Once he turns hawkish, risk off and everything falls apart...equities and commodities.

Got GIABO? "It's called the American dream, because you have to be asleep to believe it." ~George Carlin
Tue, Jun 21, 2011 - 9:14pm
Jack-a-Roe
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Great Article

Dr. D, thanks for the article. So does the S&P make new highs on this rally, or do we stall at the 50 day and go short? 

Wed, Jun 22, 2011 - 7:49am (Reply to #9)
lilbromarky1
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re

Dr Durden wrote:

Continuous Commodity Index. Dudes, read the article I linked to...it explains everything. 

Also tune into Trader Dan's blog as he talks about the "risk trade" quite often.

You can look at QE as nothing more than risk asset fuel. I think the markets are anticipating another Benicopter ride to new highs and traders are bidding it up early. So, risk on. Once he turns hawkish, risk off and everything falls apart...equities and commodities.

Thanks Tyler. I didnt even see the link below your chart when I was reviewing your reply. My mistake! Reading link now. Thank you! 1 Hat tip for you sir!

Like my ideas? Check our blog at: https://backtobasicseconomics.blogspot.com/
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