LIVE Gold Prices $  | E-Mail Subscriptions | Update GoldSeek | GoldSeek Radio 

Commentary : Gold Review : Markets : News Wire : Quotes : Silver : Stocks - Main Page >> News >> Story  Disclaimer 
Latest Headlines

COT Gold, Silver and US Dollar Index Report - August 23, 2019

Gold Mid-Tiers’ Q2’19 Fundamentals
By: Adam Hamilton, Zeal Research

Trump Floats Payroll & Capital Gains Tax Cues to Forestall Recession
By: Mike Gleason

How’s That Recession Coming, Dave?
By: David Haggith

Precious Metals Update Video: Jackson Hole Powell's Speech in focus today, Gold bias is up
By: Ira Epstein

Seven Key Words That Explain "Stupidly High" Prices
By: Daniel R. Amerman

Gold, Silver, Mining Stocks: Get Ready For A Huge Ride Higher
By: Dave Kranzler

On The Job Training
By: Ted Butler

Precious Metals Update Video: FOMC minutes: What's going on?
By: Ira Epstein

Economist Lays Out the Next Step to Wonderland for the Fed
By: Gary Tanashian


GoldSeek Web

When Distribution Quacks Like a Duck

By: Rick Ackerman, Rick's Picks

 -- Published: Wednesday, 20 June 2018 | Print  | Disqus

Although the broad averages have risen sharply in each of the last three sessions, none of these short-squeeze lollapaloozas has recouped the even bigger losses sustained earlier in the day. Do we detect a pattern here? The biztainment media seem to wax enthusiastic whenever stocks trampoline off some ugly low like Tuesday’s. But we shouldn’t lose sight of the fact that if the three-steps-down, two-steps-up dynamic witnessed in recent days were to continue for long enough, the Dow would eventually fall to zero.

That will never happen, of course, even when the trumpets sound from on high. But it is a good description of how bear markets typically unfold — i.e., with shares initially falling on most days, gaining momentum until sellers are spent; then, rallying so spectacularly as to fill the crippled, wounded and maimed with hope. “Hope” is the last thing an investor should want to feel, the last refuge of the loser.

Don’t Get Sucked In!

I mention all of this so that Rick’s Picks readers don’t get sucked into what feels like flagrant and pernicious distribution lately by the smart money. For all of us, of course, it is ultimately about making money no matter what the market does, and we should expect to do so regardless of which way stocks are headed. Today, for instance, a SPY chart posted in the chat room by “Nervis Novice” prompted some Hidden Pivot analysis that caught the exact-to-the-penny 273.53 low of a plunge that saw the Dow down more that 400 points at low ebb. A timely interpretation of Nervis’ chart allowed subscribers to buy expiring June 275 calls at or near their low of the day, 0.42, for a quick and easy doubler. (The options nearly tripled, actually, trading as high as 1.16 before the session ended.)

Unless stocks are headed into summer doldrums — always a possibility — there will be opportunities galore to leverage Wall Street’s madness, which seems to be intensifying. My suggestion is to tune out CNBC and all the rest — especially when they are talking about tariff wars — and focus solely on price movement. You will be amazed to discover how stocks drive the news rather than the other way around. Join the fun at Rick’s Picks by clicking here for a free two-week trial subscription and a ringside seat in a 24/7 chat room the draws great traders from around the world.

| Digg This Article
 -- Published: Wednesday, 20 June 2018 | E-Mail  | Print  | Source:

comments powered by Disqus


Increase Text SizeDecrease Text SizeE-mail Link of Current PagePrinter Friendly PageReturn to >> Story

E-mail Page  | Print  | Disclaimer 

© 1995 - 2019 Supports

©, Gold Seek LLC

The content on this site is protected by U.S. and international copyright laws and is the property of and/or the providers of the content under license. By "content" we mean any information, mode of expression, or other materials and services found on This includes editorials, news, our writings, graphics, and any and all other features found on the site. Please contact us for any further information.

Live GoldSeek Visitor Map | Disclaimer


The views contained here may not represent the views of, Gold Seek LLC, its affiliates or advertisers., Gold Seek LLC makes no representation, warranty or guarantee as to the accuracy or completeness of the information (including news, editorials, prices, statistics, analyses and the like) provided through its service. Any copying, reproduction and/or redistribution of any of the documents, data, content or materials contained on or within this website, without the express written consent of, Gold Seek LLC, is strictly prohibited. In no event shall, Gold Seek LLC or its affiliates be liable to any person for any decision made or action taken in reliance upon the information provided herein.