Decided to sell GERN for a very small loss and wait till the dust settles. I am still holding a small position in DNN – Denison Mines. I still see the possibility of an inverse head and shoulders pattern resolving to the upside. Most uranium stocks look like they want to go up.
A few things I am paying attention to right now:
I am watching that gold-oil ratio chart. Oil will turn at some point in time. I am waiting for clear signs of a trend reversal. No need to rush things here.
As far as gold is concerned I can only repeat what I have said numerous times in the past: Build a core position in physical gold and silver held in your own possession. Then only should you think about trading with parts of your liquid net worth.
That said Jim Sinclair’s main goal right now seems to be to make people think about the difference between owning physical gold and gold ETFs. You really don’t need to go over any ETF prospectus. It is really simple. If you want to own gold there is no alternative to the real stuff you can touch and hold with your hands. The alternatives – like ETFs – are promises and not the real thing. I think sentiment is changing rapidly. It is almost palpable. People worldwide are spending more time thinking about how they can protect themselves. Studying people’s emotions is part of your job as a trader or investor. You get the point. Don’t end up owning a worthless insurance. Act accordingly. Buy the real stuff.
Have a great weekend.