Not if your focus is commodities. Instant 6% moves in Silver and Nat Gas can translate into oversized moves in the stocks if it holds. My take for months has been there wasn't much to be had in broader indexes couldn't justify the risk/reward without a clear catalyst. I prefer sector or commodity based plays with positive momentum.
Who else thinks a Correction or CRASH may be coming? My top call #2 1/9/2021
- Thread starter KCalhoun
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Not if your focus is commodities. Instant 6% moves in Silver and Nat Gas can translate into oversized moves in the stocks if it holds. My take for months has been there wasn't much to be had in broader indexes couldn't justify the risk/reward without a clear catalyst. I prefer sector or commodity based plays with positive momentum.
Go so far. Let's see what the 60 minutes brings.
Silver up 10% ( related stocks up anywhere from 18-30% premarket ), Nat Gas still up 7%, Gold and Oil up moderately which is a nice reversal from Friday afternoon ( Gold stocks up 9% premarket ). Indexes up a pedestrian 1%. This is my point, most of the good opportunities right now are long certain sectors; commodities must be monitored daily.
Oil related - just read this Bloomberg blurb:-
"The chief executive officers of Exxon Mobil Corp. and Chevron Corp. spoke about combining the two largest U.S. oil companies last year, Dow Jones reported. The talks were preliminary, and are not ongoing, according to the report. The news kicks off what is going to be a very busy week for the oil market, with almost every oil major reporting results. OPEC and its allies will review their December agreement on Tuesday, after a preliminary report estimated 99% compliance with output levels. Oil was trading slightly higher at $52.37 a barrel by 5:50 a.m. Eastern Time."
The best plays on silver lately have been the more active stocks after they sell off somewhat during the day. My favorites are MAG, EDR, FVI ( all have US equivalents ). FR ( AG in US ) has been the trader favorite but on a fundamental basis I never liked it. It's popped the most premarket moves but I would say the most risk as well when the rally ends. Short term certainly it stands out though. SVM has lagged the group throughout might be a relative value play into earnings Thursday.
That being said, Silver is super strong right now. Normal miner trading before last week would be gradual sustained stock price increases all day on such a move.
On one hand, it's a little late in the short term game to jump on these things unless you get an intraday dip. On the other hand, the two other times Silver hit $30 it skyrocketed to $50 in short order. I think any buys with size need to acknowledge the daily range some of the traders seem to bail in the last 10 minutes of normal trading hours.
You may have noted the recent pattern in silver miners held up again today. Had a highly profitable day today hopefully the adjustments I made late day end up being good.
Good call re silver, it's a popular sector.
Lost a few hundred taking stops in inverses; I anticipated a minor bounce today, did more than a mean reversion though. As with last week I'd expect end of week selling, depending on earnings reports.
Agree silver plays are good to focus on this week, also cannabis eg SNDL up earlier. Will reenter inverses at 2dhighs.
Lost a few hundred taking stops in inverses; I anticipated a minor bounce today, did more than a mean reversion though. As with last week I'd expect end of week selling, depending on earnings reports.
Agree silver plays are good to focus on this week, also cannabis eg SNDL up earlier. Will reenter inverses at 2dhighs.
IT did last FEB;
good thing i cut a loss on TECs @ $8.56 area\ its down > 7%.
Took profits on SPYG today / mid FEB was last years trigger.
DOW stlil looks weak/QQQ looks strong.
[GME resumed its bear trend but i never consider a penny stock a benchmark]LOL
