Monday, January 9, 2012

I'm a flip flopper

Well, I bailed on DUST now. With bulls and bears locked in a battle between 53 and 54 on the GDX I decided there wasn't enough clarity especially after what I would consider a positive day in the markets today. I am now long emerging markets via EDC because I think they will move the furthest and fastest to the upside if we get going here. The EEM is in a nice little triangle with what I believe to be about a four dollar upside potential if we break to the upside. The dollar looks very over extended here so I did not want to be shorting anything gold related. I think the US markets look poised to reach last year's highs at which point I would just have to take a wait and see approach along with the other 99% of the trading world that doesn't know what the insiders are going to do next. I think if we reach those levels the VIX could be diverging quite dangerously as I think it already kind of is. Like Eric the midget from Howard Stern says: "Bye for now".

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