The next two weeks are going to be a doozy. I have no idea what will happen. Almost all of my indicators and stocks I follow are neutral or a buy, and most are overbought, at least short term. But with volume so low, the market can be pushed in any direction.
So my strategy is to keep a core miner position, mostly silver miners, and write some ratio options for September on gold and silver, that will reduce significantly my cost to enter the trade, and risk of loss if the Bernank disappoints the metal bugs at JHole,(which I am a proud member) yet will profit from a move higher.
I am also keeping my EDC puts for September for a sell the news event. At any rate after the Fed meeting in September, we are going to move lower ahead of 3rd quarter earnings. Revenue is flat, and most tricks are used up (currency, lay offs, foreign operations, channel stuffing, etc). Plus, the rich are going to hunker down until they see what damage is coming their way (Obama reelected, Senate flip Republican, fiscal cliff resolution details, etc).
I had a good week, and my signals did well (see below).
Below are a few charts.
Trade history as of Thursday http://www.screencast.com/t/C2kCjKKSlv