OASIS FORUM Post by the Golden Rule. GoldTent Oasis is not responsible for content or accuracy of posts. DYODD.

DoubleLine Capital’s Jeffrey Gundlach tells Reuters that his firm bought some five-month put options on the S&P 500 a couple of days ago after VIX fell to lowest since December 1993.

“This is like free money,” Jeffrey Gundlach said in phone interview with Reuters, noting that “we lost money the first day we put on the trade, but now we are doing great.”

“We are in a seasonally weak period for stocks but more importantly, we think the VIX was really, really low. So the S&P puts are going long volatility”

“Now we wished we had done more,” said Gundlach, the chief executive officer at DoubleLine, which oversees $110 billion in assets under management.

Gundlach said he still has exposure to gold and predicted gold prices would rise because “gold looks cheap compared to markets that have rallied a lot, including bitcoin and including Amazon.”

*  *  *

Additionally, Gundlach tweeted overnight about copper (and its bearish implications for Treasuries)…

“Copper/Gold ratio soaring to the high of the year!”…

“Not good news for the “1.50% 10 year” crowd. Neither is 10 year Bund holding above 50 bp.”

So, it appears Gundlach is bearish stocks and bonds… which is the direction they both traded today.

Does anybody remember where they were posted?

Good thesis. Don’t disagree.

The unanswered question is always if they’ll let the pm sector move higher.

Thinking the USD resumes its’ downtrend again.

May be some key downside reversals in the works tomorrow!

rno

Thanks for posting your actions and thoughts on the PMs situation, so now I’ll add mine to the conversation. The first half or three quarters of 2016 things looked great. Then Brexit news and Trump campaigning  knocked everything down to late ’16. So I just held onto my losers, too cheap to sell, and have done pretty much practically nothing.

A couple of tiny break even trades here and there for practice, and gave up. Imo its practically impossible to make any bigger bets with all the distorted prices and abnormal trends and market action. I can’t trust any breakouts trends etc. On hold now and just waiting for the right thing to hit the news. I still think, and am confident, that Gold hit rock bottom in late 2015.

And the Dollar has been dropping so hard for seven months now, its making me think its a man made TPTB manual adjustment for longer term.  Sooner or later a shift in tide will happen. Also, all the positive economy news, and over confidence with stocks real estate, often happens on turning points.

Remember all the times Gold was on highs, and they blab away on it in the news that its going higher, and down it goes.  same thing on Gold lows. It goes below $1100 and everybody says its going to $900, and up it goes.

“This Is Like Free Money” Gundlach Bought S&P Puts At VIX Lows, Says “Gold Looks Cheap”

“This is like free money… We are in a seasonally weak period for stocks but more importantly, we think the VIX was really, really low. So the S&P puts are going long volatility…”

FWIW, IMHO the Trump administration is in deep kimshee and this country is going to fall apart in the next few months.

This country is failing, they can put lipstick on the pig in the markets, but by design war is coming, along with a potential Trump resignation and civil war. You’ve seen the deep state in action against Trump, with Lindsay Graham and John McCain now threatening him publicly. In the meantime, they are pushing for war with Russia, Iran and N. Korea with new sanctions. So exhausting.

Now Scaramucci – IMHO another deep state plant helping to make Trump look nuts and/or incompetent.

There’s a collapse coming, I have a job for now. I give this country, economy and markets 2 months at best. I’m never right but things are getting downright out of hand. Works’ for me.

I barfed a few mornings after a good whiff!

rno

They will prop the general markets up the best they can, until the very end. Especially the much touted DOW.

Being the contrarian I am, I have started adding SDOW shares at every 100pt move up. Bought some at 21,600. Bought more at 21,700. And will continue feathering in every 100 point move up. Either the Dow goes to infinity (possible) or I run out of money to short the thing.

Am I crazy? Yeah, probably. But I will place my bets and wait to see if we get a 2,000-3,000 point ‘correction’  in the next 18-24 months. I think the odds are in my favor. Wish I knew for sure. 🙂

I see three ways out of this PM mess.

1.) Buy the Phiz, and hold until some day it is valued at a reasonable price.

2.) Enter the paper markets and see if on any given day you can beat the banksters.

3.) Say the hell with everything PM, and go an entirely different direction.

My thoughts are thus: Invest at least 20% of your net worth in the phiz. It has proven itself for 5,000 plus years against all governments and financial systems that promoted a better way (fiat) system. And then, in my case, take 80% and use it to try and enhance your personal fortune.

I am no genius, but if one has watched these markets for at least 10 years I believe you can play with/against the big boys. Example, 8 out of ten times the banksters are going to bash the PM’s at Option Expiry. Now I can cuss it, I can get upset, OR, I can try to make few bucks off the deal. I sure as hell cant change it. Pretty simple.

So far this year, I have been very lucky. Except for one month, I have ended up higher in the trading account. Do I know any secrets? No way. But the banksters, to a fault, have become so predictable. Example, Gold up for three days in a row, you know they are going to beat us down on the fourth, no later than the fifth.

Kenny Rogers said/sang it best. You got to know when to hold em, know when to fold em. And if I cannot get that concept right at least 70% of the time, I probably should find another way to spend my time, and money.

The other issue I have is I am probably a long time ‘gunslinger’ at heart. I don’t care about any PM stock in particular. Like CDE today, down 12% at one point. First thing I thought of was the idiots had announced some kinda of reverse split. They did it a few dozen times in the early 2000-2005 years. I have learned, the hard way, not to marry any stock. Odds are, ‘they’ are watching over the owners interests more than their investors. ( Ron McEwen may be the exception from my own observations)

Anyways, each day I take my best shot, and doing what is important to me. Growing net worth, both in the paper and physical realms. If I come up with a different solution to this crazy arse world we live in, I will post it here.

Ps) Got back a third of my losses today. Somedays, that is as good as it gets. Lets see what tomorrow brings. I shorted some more shares on the DOW today, and gettingready to go long with JNUG. August scares me, but that is how I read the tea leaves at this moment. Come Sept, I think the goldbugs are off and running.

Just keep the coffee coming, and the trains running. The rest will take care of itself. 🙂

Not sure any rules apply….I’m certain that borrowing and delivering by shorts is not enforced, as the amount they are short is way beyond the issued Number of shares.

But as we know, the SEC is part of the problem.

Maybe we can fight back somewhat by buying only Gold Mutual Funds because they cant SHORT Mutual FUNDS legally ,If Im correct !

That removes a big chunk from their short list !  The stock companies can help f they paid dividends because the shorts are responsible for the DIV if Im correct !

A few times one would see the Dow up while the S&P and Dog were down, tks to a Dow constituent outperforming….but now they are so desperate/blatant, it happens most times….

“Something about the smell of naphalm in the morning.”

Even if it’s coming from your wallet?  🙂

At least so far, course we still have the dreaded last hour of trading.

Impressive that we’ve shaken off the USD rebound.

https://youtu.be/ovd_75lH7Dc

no wonder scum are all over PM stox…can’t have any counter trend strength.

Lets call it just Long Covering. Some guys saw a short term profit and decided to cover it. 🙂

Re Hands

I never want to tempt fate…but 1/2 an hr to go and well away from 1250 etc…this is not normal..the slaughter of CDE and GG says they can only take out some stox and the metal seems beyond them.

Considering the scum never buy, certainly never panic cover shorts, then to have so much buying around still, says demand is massive.

With about an hour and half left to go, the banksters cant seem to knock out the Gold 1250/Silver 16.50 contracts. A big deal in my thinking. Hope those still holding those contracts come into the money and take delivery of the metals.

The Dollar/Euro/Yen looks completely out of whack. Looks strange to me.

GG being hit as well, despite beating No’s…scum are not happy…also they are trying to get a reversal in EUR/USD and USD/JPY and Dollar index..

Maya was right the beatings continue.

Good luck! Always fun to hear of your exploits! 🙂

and give me a picture of Pelosi to stare at all day. 🙂

Would ask for a picture of Hillary, but Wanka gets jealous if I stare at his girlfriend like that.

Naw, trading seems to fit me better. Something about the smell of naphalm in the morning. LOL

That short term trading is a tough gig. Perhaps it’s time to go long our favorite (favourite for the spelling impaired 🙂 market and sit tight? Just a thought. 🙂

http://www.cnbc.com/2017/07/26/billionaire-investor-marks-who-called-the-dotcom-bubble-says-bitcoin-is-a-pyramid-scheme.html