NEM did hit $54.87 yesterday into the resistance area. Gold is making new highs and money is pouring into Gold miners.
Media is abuzz with tall targets for gold: $1,300, $1,500, $2,000 and so on.
It does remind me about the $200 a barrel target for crude oil some time ago. The most respected (ahem) firm (s) were giving that target. Even the Government kept buying oil into the SPR (Strategic Petroleum Reserve) as crude went higher and higher all the way to $147 a barrel. Then it corrected to $35 a barrel.
Oh, that was so last year!
"Now the things are different. There is hyper inflation lurking out there with all the money that is being printed. After all, Gold is the only real currency out there. India just bought 200 Metric Tonnes of gold, even Mauritius bought 2 MT. What are you waiting for?"
Please give me a break.
I am not counting too much on my EWP count on NEM with a Diagonal in Wave 3. Still, it looks to me that NEM is about to roll over. That thought lead me to buy a Bearish vertical spread on it today. Lets see what happens.
If the count is correct, NEM should correct towards $45 and bounce higher from there. In the meanwhile, I will scratch my head for more thoughts on the count.
No comments:
Post a Comment