WED

[Quakedog]

Wake up people its Wednesday!!!! MONEY!!!

[gareth01]

just no volumes.....boring Wed!!

[sponono]

......and gold stocks are misbehaving.........

[gareth01]

@sponono - think gold shares at current levels are good entry now?? Current trend looks downward, but at the same time oversold. Itching to hold a long position - Ang/Har or GLD?

[sponono]

on a 12 months performance basis: GLD and then HAR. only worry is that $Gold is struggling to get back above its 200day SMA.

[gareth01]

Totally agree with you about $gold below 200MA...but suppose with the recession of Europe, gold will rebound, just need to be patient. I also prefer the GLD (just better gearing and less worries about production etc). Will put in an order for underlying price 12500..(although it appears support is around R124-50 levels)..

[Russ]

Even vil's rock solid support at 200 is being tested again.

[sponono]

would still avoid gold though

[gareth01]

Thanks Spono for the advice....withdrew order, will just watch for the moment. You long on anything at present? I am long Vod, Arm and RLo

[Russ]

I agree,Gareth.Gold shares look quite inviting.Har touched support today and is oversold.

[sponono]

just the ALSI.

[Quakedog]

Gareth you trading derivitives on those long trades you mentioned? Big or small amounts? Curious as I lose the plot with derivitives and cannot stomach it!

[raps]

Every time I have tried to trade warrants I have lost money...SSF on the other hand. But I shall persevere...there is a warrant out there with my name on it : )

[gareth01]

@Quakedog - Trade both CFDs and SSF....I use the CFDs are my shorter trades and SSF on the longer trades. Trading ARM (SSF 10 contracts at R168.25) Trading VOD (CFD 1000 at 87.20) Trading RLO (CFD 3000 at 61.12) - chasing the dividend (suppose n

[Quakedog]

No just straight shares for me, dont have the brass for the derivitives anymore. Straight shares on ABL,ADW,ARL,CLR,DTC,BCK,SOL,SPG,RLO,FSRP,FBR. Lost my nerve in 2008 when I seen R30 000 a day going out. Not good! So I try buy low and hold now days. Seems to be working.

[gareth01]

I know that feeling of 2008....more specifically buying Kumba at R320 (after being at R375) and went long....eventually it went all the way down to R120's....sold out eventually with a BIG LOSS (knocked me hard). Needless, to say, I dont like Kio...and learnt what a stop loss was. My strategy with all those volitility at present, is "trade small amounts" over a few trades =-R50k (with same Cash cover) and tight stop loss, then take profits and add to my longer term/investment portfolio - seems to be working quite nicely... Longer term investments held - 10/15 years: Exx Bil Mpc Shf Abl Avi Vod Cfr

[gareth01]

Thank goodness, I did not buy gold shares....oouch, really getting hammered now!

[sponono]

GLD: close below 123 would complete the double top. target would be 106?

[Russ]

Buy when others are fearful.Gold shares nicely oversold.

[richardw]

I don't think it's currently 'fearful' at all. Gold is currently quite a bit higher than platinum and that isn't a common situation. It's not like gold has a god-given right to be the only source of protection when currency values get erratic. The time to buy gold was when everyone else hated it - that was when everyone was 'fearful'. Look at a 5-year print of the gold price. If anything, a long call is trend-following, not Warren-Buffett-value-discovery when others are fearful.