Tuesday, August 23, 2011

Game Plan Redux

9:43 am (Hawaii) Now that I'm back to cash, what to do? My gut says stay put and see how things unfold leading into and right through Jackson Hole on Friday. Doing less will be doing more. So I remain bullish on physical gold and silver. I have all my coins superglued to my arms, legs, basically my extremities. Not really. But you get the idea.

I. Long/bullish physical PMs.
II. Cash, no equities.
III. Possibly will go short PM paper via ZSL, DZZ.
IV. Pending more Eurocrash news, short banks via FAZ.
V. By Friday (Jackson Hole), prepared to go long via QQQ, AAPL, BIDU, FAS.
VI. After QE3 momentum slows to a halt, riding DGP again. Maybe AGQ.

It'll be interesting to see, if Bernanke speaketh quantitative easing on Friday, how the miners do. They usually trade in tandem with the market, but this could be different. Maybe. I won't touch miners anymore, but I'm watching for entertainment value.

If BB does speaketh of QE3 Friday, I give it a week max of a rocket ride for the market. But it could fizzle out much sooner, maybe even in hours. Maybe on news that SocGen falters, triggering a domino effect across the continent. It's coming. Just a matter of time.

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