Time to GET OUT!!! posted by Augustus

[CSJournals-migration]

Markets are in for another big drop.

 

Hello again gang,

 

You haven't heard from me for awhile, because I haven't been trading actively due to stimulus money skewing trend charts. I have been purchasing mostly gold and silver for the fund, but have also been attempting a few MS66 modern sets. I digress. It is time to get out of the markets again as something very bad is forming - a weekly head-and-shoulders pattern on the DOW. This means a return to bear market conditions, and more severe drops in markets. Chart Analysis rarely works correctly in bear markets, so tread carefully! Here is a link to the Head-and-shoulders set up: http://stockcharts.com/charts/gallery.html?s=%24indu

 

Short term, the USD looks like it could be a safe place to put your $$. Long, and potentially even medium, -term ... I'd look at commodities priced in USD ... especially food-based futures, gold, silver, and palladium. Oil and base metals may suffer if industrial production drops. I'd also short major goods producers, like autos, home-builders, aircraft, and steel producers.

 

This could be another opportunity to grab some great coins at exceptionally low prices. Unfortunately, tough times have also tightened the pool of collectors as well.

 

Below is a picture of a gold florin I purchased graded AU55. Minting date: 1410 - 1433. King: King Sigismund the I, Emperor of Hungary, Holy Roman Emperor of Europe. Minted in: Bern, Switzerland. Minted for: The Free City of Frankfurt. Composition: Gold. Reverse: St. John the Baptist holding baby Jesus. Orb of light surrounds Christ's head, a symbol that he was born King of Israel. Inscription: Monet No Frac'Fort. Obverse: The seal of Sigismund and the Holy Roman Orb. Population: 1/0. Extremely rare 600 year old coin.

 

Good luck!

 

Augustus

 

See more journals by Augustus