Category Archives: Transaction Alert

We sold NUGT at the market this morning at a minor gain. Two factors played in the decision to sell even though we just had a buy signal the day before:

•  Last night, the Industrial Production Index (found here: St. Louis Federal Reserve Bank) declined for the first time since the Dow Theory Bear Market signal on August 2, 2011.  This may be the nail in the coffin in the bear market rally (Our call on a market bottom and bear market rally found here: August 9, 2011).
• Yesterday, April 17, 2012, gold fell while gold stocks rose.  Either gold has to increase or gold stocks need to fall.  Today gold is sliding confirming that the run in gold stocks must be false.  We make specific reference to false indications of when gold falls and gold stocks rise (found here: November 2, 2011)

This is the nature of speculation.  We'll re-enter our speculative position at another time.

We are buying Direxion Daily Gold Miners Bull 3X Shares (NUGT) at the market on April 17, 2012 as our Gold Stock Indicator was triggered just before the close on April 16, 2012.

As we’ve mentioned in the past, we are only seeking gains of +7.5% in NUGT.  Our involvement in NUGT is highly speculative and only for short-term gains/losses.

We are selling Direxion Daily Gold Miners Bull 3X Shares (NUGT) after achieving the goal of +7.5%.

Today our Gold Stock Indicator fell to a level which has yielded at least 7.5% gains in NUGT more than 85% of the time.  We have bought NUGT and NEM at the market and will update this information after the close of the market today.