Gold Daily and Silver Weekly Charts - Comex Options Expiry and FOMC Next Week

"What was scattered gathers.
What was gathered blows away.”

Heraclitus

And so we did a bungee jump over the past two days, a trading phenomenon colloquially known hereabouts as 'shenanigans.'

These jokers are so obvious and tiresome since the regulators have been put to bed.  At least they are not too lazy to steal.

Intraday there was a simple performance comparison of the two gold funds OUNZ and PHYS.

Next week could be a bit of a challenge for the precious metals, as we have not only a relatively important expiration on the Comex on Tuesday the 26th, but on the next day on Wednesday the 27th the FOMC will be revealing their decision on interest rates.

I am not going to speculate on which way I think the punters and wiseguys will take the markets, but it is likely to be an up and down, or a down and up, or perhaps even a down and down with the up to follow later on.   Or as I suspect we will be seeing sometime this year, just an 'up, up, and away.'

I do not wish to encourage anyone to trade any of these jiggered markets on the short term, even those who at least theoretically prefer their markets on the wild and underregulated side, with a charming trust in the natural goodness and rationality of some of the worst moral actors you will ever find.

And if you are determined to trade these markets short term, then just put your big boy pants on and have at it, as you certainly do not need any help from me.

Longer term, dull reality intrudes. even on the half-fevered monetary dreamstates of statists and thieves.

And after many a summer, dies the swan.

Have a pleasant evening.

SP 500 and NDX Futures Daily Charts - How Are the Mighty Fallen

“Empires die, like all of us dancers in the strobe lit dark.

See how the light needs shadows.”

David Mitchell

Stocks were a bit off today, as the risk on stampede cooled off a bit, as the bulls began to dwindle away for the long Summer weekend that they desire.

VIX ticked up a bit, as the buyers looked around themselves and saw how far they had come, and heard the snickers of the pros as they helped them to mount ever higher.

Tomorrow will likely be a sleepier day, with the adults gone by noon if not before.

Have a pleasant evening.

Simple Performance Comparison of OUNZ and PHYS

As the title indicates, this is a simple performance comparison of the two gold funds OUNZ and PHYS.

I had not really known much about OUNZ until I read an article about it sent out by a gold news site.

It was interesting to me because OUNZ has a redeemability feature in the form of gold coins if desired, and an expense ratio that is said to be comparable to that of PHYS.

For my own curiosity I compared them first for 2016 M-T-D, and threw in the price of gold just for a benchmark.  Since this is only about seven months, I also did a straight up two year comparison.  This pushes closer into OUNZ's start up period.

The results I found are below.  By way of disclosure I have and have had positions in the Sprott Funds.

There are other factors for comparison that this does not consider.  One needs to look at the details and their own requirements.

I suspect that PHYS is gaining slightly because of time on the market and economies of scale.

Gold Daily and Silver Weekly Charts - Risk On, and Shenanigans For Dessert

Risk on, and the more the better.

There is a big option expiration next week, and now is the time to clear out the bullishness.

Reform?  They'll never learn.  Why should they?

It's working just fine for the propositional class.  And for now they seem to be large and in charge.

Have a pleasant evening.

SP 500 and NDX Futures Daily Charts - Bubble Up to the Bar

Stocks were in rally mode today, as it was risk on all the way.

The markets were cheered by Microsoft's results last night, and the love in between May and Merkel that is dispelling the Brexit fears.

After the bell today, Intel beat the numbers. However the markets were not impressed, as the numbers that INTC beat were recently lowered this week. It would have missed the numbers in place last Friday. Picky, picky.

Qualcomm and eBay were rallying after hours on their adjusted results.

Financial assets are in a bubble again, compliments of the Fed. It's what they do.

Too bad it does nothing positive for the real economy.

Have a pleasant evening.

Gold Daily and Silver Weekly Charts - Summer Wind

"You will find that the truth is often unpopular and the contest between agreeable fancy and disagreeable fact is unequal. For, in the vernacular, we Americans are suckers for good news."

Adlai Stevenson

Funny but most people these days are also suckers for bad news too, especially news that spells doom and gloom and grim warnings about the imminent decline of the world as we know it. There are web sites that seem to specialize in it.

Maybe its not that the news had to be good, or bad, but extremely good or extremely bad. Maybe that says something about how overwhelmed we are becoming by 'news' so that only the real shocks can get our attention.

Most of life is just doing your daily chores, finding grace in simple things, and waiting. What one is waiting for says quite a bit about who they are.

Gold and silver were drifting largely sideways today in what can best be described as the 'Summer trade.'

We may see a little more action next week with the option expiration. Or some exogenous event could certainly liven things up.

Positional trading is fine, but short term trading markets like these tends to exhaust the retail trader with commissions.

Put more simply, short term trading these dull markets is for suckers, and those who prey on them.

Have a pleasant evening.