Like this morning's post, let's start this thread by reviewing the relevant information from last week. This time, you need to go back and read this.
Of that note, here is the most important section. Again, this was written early last Friday:
"I have a last in July silver of $36.13. Above $37, the new shorts will begin to get squeezed and older (24 hours+) shorts will begin to sense that the fun is over and lock in some profits, thereby adding to the buying pressure. If we've indeed found a bottom, silver may, by Monday, trade back UP near $38-40.
In a traditional bottom, silver would then trade back DOWN toward $35 later next week. At that point we'd have the makings of a solid double bottom. THAT WILL OUR ENTRY POINT.
If you're not currently long, I would advise you against buying this rally. With a potential short-term upside of $3 vs a downside of $2, its just not a tradable proposition. IF, however, the next week or so plays our as I've described above, the risk:reward will swing dramatically in our favor and we can act decisively then."
Everything is going as planned for us. If you bought the dips last Thursday, the time to take profits would be IF we can approach 1520 and 39.50 tomorrow or Wednesday. Because I see such significant resistance there, I'd expect the PMs to stop and reverse, head lower and form a permanent bottom. By next week, gold would probably trade back down to 1490-1500. Silver could still go all the way down toward 35-36. DO NOT DESPAIR, however. IF this develops as I've projected, those levels would be fabulous entry points that would also coincide with the timing pattern I've been mentioning for about the past three weeks. All in all, I'm extremely confident that this CME/Cartel-induced bloodletting has reached its selling maximum and that happy, fun days are once again just over the horizon.
That's it for now. TF
4:45 EDT UPDATE:
Very, very nice afternoon action. 39.50 & 1520 look even more likely now than when I wrote this note 4 hours ago.
PLEASE take the time to click this link and read the entire article. A couple of things you need to know:
1) I am not "Avery Goodman" though its quite clear that he is a Turdite.
2) He still has hope for Bart Chilton, I don't.
3) He thinks QE will be ending. I don't.
4) It is definitely NOT a myth that the Comex can default.
5) The BoS are not a myth, either.
In the end, though, this article is so well written that it is a must read.
More this evening. TF