Monday, February 28, 2011

GORO - anatomy of a trade.

GORO broke out today, but it warned us yesterday that an up move was likely.  I am still holding.

XRA - A Sleeper?

I will take a position as it crosses its 65 EMA.

Sunday, February 27, 2011

"nough Said

From a Kitco Blog site.  All you need to know about silver.

Silver Wheaton Bull flag

Silver Wheaton is sporting a nice flag.  I am buying 20 more contracts as it breaks out.

Nice Bull Flag

Saturday, February 26, 2011

I Endeavor to buy more

A beautiful chart pattern is emerging in Endeavor (EXK).  I keep hearing that IHS's don't form at the top, but I have seen too many this year that have broken out.  I already own quite a bit of EXK with shares and options, but I will put on a $7.50/$10.00 call spread (April or May, depending on the breakout date above $7.50).

I think it is good for a $2.00 move, just don't jump the gun, let it breakout.

Thursday, February 24, 2011


 Folks, this a 1 billion market cap company with over 100 billion in reserves.  Get some.

Tuesday, February 22, 2011


I own GORO, and today it bucked the trend in miner sell offs today because this company reported killer drill results.  This is the gold standard gold miner.  Make room in your portfolio for this stock.  I'd say gap fill and go.

GOLD rejected the 65 EMA today, not surprising considering the pressure stocks were under.  Now it is trapped between the 30 and 65, with the 10 ready to cross up and over the 30.  I am buying on a close above the 65.

Thursday, February 17, 2011

SLW - low risk option trade

SLW is setting up nicely for a run higher, and if silver breaks to new highs SLW will certainly follow.  A trade I am in, March 32's now looks like a add to for more conservative option investors.  It sports a delta of 80%, yet there is still 5.5 to leverage on the option, and since you are deep in the money you can roll this forward if silver keeps moving higher.

Monday, February 14, 2011

Anatomy of a Trade - SPWRA

I like this 15 minute setup.  The 60, daily and weekly are cheering along.

Sunday, February 13, 2011

Encore Energy


I watching for a break in the descending trendline, looks promising though as it already cleared the EMA's.

Saturday, February 12, 2011


I do not own them, but the set up looks good.

Playing GDX weekly

Using GDX as my underlying, I am selling weekly calls on any stretch in the 30 EMA and momentun crosses.


AK Steel

Friday, February 11, 2011

How Long Can China Hold Out?

Look at the this chart below, and you tell me how long can the Chinese go without revaluing their currency.  If food prices continue to rise, and there is no reason it will not, we will be watching New Delhi, Shanghai, and Beijing and their riots.

For those who think China and India are the future, you don't get there with stats like this.

GG - Approaching a resistance area

GG broke out, now watching 43.81 to see if it breaks out or not.

Thursday, February 10, 2011

CCJ - Next Upleg soon.

I am loaded to the gills on Uranium miners, but I thought I'd share a trade set up.

Serve your country, Be a Patriot

Looks like a bit of a lift is in play.

Put FCX back on your Long Watchlist

A trade is setting up.  I am waitng for Momentum to urn positive and for the 10/30 cross.  I have a spread on and wll close my short leg at that point.

FSLR - Long Trade setting up

FSLR reports next Friday, and I have taken a small March call position (160's 3 contracts),  the charts are setting up for a ramp into earnings.  I will buy 2 more contracts on the cross of the 10/30.

I intend to short FSLR next week as per my earlier post on FSLR, it always sells off after earnings.

Wednesday, February 9, 2011

Inter-Oil Failing

NAK-Gift or Gift Horse

NAK has been on a rocket ride.  They are sitting on substantial reserves in Alaska.  They also are fighting the local population over drilling due to the proximity to major watersheds.  This fight is still pending, so watch for some news in this area.

I rode this stock from $6 to $19, then hopped off and thought the train was leaving me behind.  I am watching the MA's to determine where to hop back on.

Tuesday, February 8, 2011

Some Bull Flags


SLW is at a discount to SLV

Silver Wheaton is at 80% of its highs, while Silver is 97% of highs.  I have March 32 calls on SLW, and am thinking of adding to based on this.

The chart looks great.

Monday, February 7, 2011

Last few trades I made on FSLR

A few folks were interested in my FSLR trades, so here they are.  I reloaded as the MA cross is good, and FSLR did not break out of the channel.  Also looking at the daily, it has rode the the top of the Keltner channel for this whole move.

I intend to short it after earnings are announced, as it always retraces some of its pre earnings ramp.

Up arrows are buys or short covered and down arrows are shorts or long covered.

Another Junior Going to the AMEX

Great Panther is moving to the AMEX.  This of course is good news for those of us that own shares in this company.  It is running up a bit on the news but a good company to build a position in.

TLR - finally hitting the break out area

This is Big News

From Zero Hedge:

JP Morgan announced today that from now on they will accept physical gold bullion as collateral. This is a sign of gold’s further remonetisation in the global financial and monetary system. It may signal that JP Morgan is having difficulty in securing gold bullion in volume. JP Morgan is the custodian for many of the gold and silver exchange traded funds. They will not accept ETF trust gold as collateral.

In October, the clearing house of global exchange CME Group – CME Clearing – announced it will now accept gold as collateral for trades on the exchange. Gold bullion can be used for margins for CME trades, ranging from crude oil, gold, grains, equity indexes and Treasury bonds.

Given the current monetary, macroeconomic and geopolitical risk gold is an attractive alternative to debt, equities or other paper assets as collateral.

JP Morgans’s move shows how gold bullion’s fungiblity and tangibility as an asset makes it attractive and shows gold’s increasing importance in the financial system.

Interestingly, the CME is storing their collateral gold at JP Morgan Chase Bank in London. The exchange said it hoped to add additional depositories in the future but there has been no announcement of developments in this regard.

Silver prices remain in backwardation, showing that buyers are willing to pay a premium for silver delivered sooner rather than later.

I am already positioned, but suggest others start to add to their silver miner positions, and SLW.

Sunday, February 6, 2011

AEM Poking its Head up Again.

It's difficult for me to foresee the ms disappoint on their earnings.  AEM is my favorite large cap miner that is breaking back up through its moving averages.  Low risk entry here.

Saturday, February 5, 2011

Lihua- Chinese For Trying my Patience

I like this stock, and I believe it has completed its consolidation.  Now it needs to clear the 65 EMA for its next move higher.  Related, I like the action in FCX from the pullback from its earnings announcement.

Friday, February 4, 2011

Here is a Pretty Tradeable Stock

I poster on my blog pointed this stock out to me today.  I don't know how I missed it before, but hey, looks pretty, and is ready for a move higher.

Also, the Uraniums are looking good, if you are trading them keep a core position.  The Chinese must buy a lot of uranium, price be damned.

PCX - a short term trade setting up.

PCX was beaten down by the sale of their entire portfolio from their largest shareholder.  I have March 28 calls and will put on or take off Feb then March sold calls based on the action in the 15 minute.  But if you are looking for a quick trade, when PCX breaks $25.37, there is a quick run to $26, IMO.

Thursday, February 3, 2011

Anything China Not Looking So Hot

Looking through my Hard Asset Stocks, I noticed many of the Chinese names are looking a little punk.  Here are a few examples.

Don't get GORO'd

Gold Resources breaking out.  I have Feb 25's, going to roll them into March calls.

So it Begins

I have been re-buying my full position in silver and gold miners for the last 6 trading days in anticipation of a very strong March and April.  Today is confirmation for me that this leg of the bull is back.

First, waking up to a Junior gold miner (FRG) getting taken out tells me the in the know people see other assets are cheap enough to buy.  To me, this will put a floor under this market.

Secondly Silver broke through the 50 EMA, and has been leading gold of late, and now gold has broke above 1345, and is ready to break through the next EMA.

My plan is to keep acquiring until I am fully margin ed, over the next two weeks.

Revett is moving to the AMEX

This silver and copper miner is ready to take the leap to the big board.  This means more liquidity and more institutional ownership.  It is also closing in on the very important $5.00 area.

Also read this Seeking Alpha article on this company, and you may wish to follow this guy, he has good insight.

I own 1,500 shares, and will add more when the move is complete.


Wednesday, February 2, 2011

I am in-Cline -d to buy this one

Tim from Slope of Hope pointed out Patriot coal earlier this week, and the chart on that stock looks beautiful.  Now compare that stock with an American Coal miner from Colorado, Cline Mining CLNMF. 

Patriot Coal has 1.8 billion tons of coal and a 2.6 billion dollar market cap.  It's about $28/share.  Cline has a 555 million tons of coal and a market cap of 560 million dollar market cap.  It's about $4.40/share.  Cline is 13 times as undervalued  in comparison, for their assets.  For production, Cline expects to mine 3 millon tons of all met coal, whereas Patriot expects to mine 28 million tons, of which 4 million is met coal. On a revenue scheme, Patriot is four times larger, yet 13 times more valuable.

I sense an opportunity.

Tuesday, February 1, 2011

Listen to your Elders

I created a filter that approximates the Elder impulse (you have to eyeball the MACD for a turn).  I follow about 500 stocks I consider a hard asset company, and today over 20% of my stocks hit this filter.  The most since I been doing it.  So instead of putting up a few stocks, I'll attach the list.  Enjoy.