JUST ANOTHER MANIPULATED DAY: THANK YOU!

THANK YOU MANIPULATORS!

Well, what would a slow Wednesday, 2 days before “the most important employment report evahhh!” due on Friday, be without some $5 Billion of notional gold being manipulated lower dumped from 1308 down to 1304 in seconds? As I have repeatedly said before, nobody in their right mind [with profit in mind] would do something so stupid as unleash billions into a market order on a day where not much is expected to happen; but this only applies to people who care about price, not people who 1) have an anti gold agenda [hello FED & BIS!], 2) don’t care about price or losses because they have the ever helpful “CNTRL-P” button at the ready, and 3) have as a guiding principle to screw as many retail specs and/or others who are long gold into selling for loss, while at the same time enriching bullion banks who do their bidding.

Welcome to modern day trading!

Well, it certainly doesn’t hurt us, and as a matter of fact it produces profits; thank you very much idiotic manipulators! Keep up the good job!

Today’s trade directly below with all the details and commentary; and unless the manipulators can take another suicide shot at the 1300 level gunning for sell stops, or make new highs [unlikely], I don’t see any reason to get caught up in this crap when the music stops for the day.

A couple of very important observations if you will.

1) If it hasn’t dawned on you yet, even after a full month of digesting gold charts here on the blog, the fact is the volatility algorithm is about as good as you are ever going to see barring 10 million lines of code and a staff of math Ph.D.’s at your ready, and a complete staff [circa Vampire Squid or maybe JPM] to implement buys/sells in an HFT type of environment.

2) The exhaustion lines are “pure gold” [pun not withstanding] in predicting in real time the end of a move after some serious buying and/or selling. The RM=1 mode is good about 90% of the time in normal trading environments, and very rarely does gold hit RM=4 without some kind of big news that jerks the market one way or the other. In case you haven’t noticed, and I know you have, there isn’t another indicator on the market today [at least that I know of] that is even close to the track record of my exhaustion lines in real time.

And if you haven’t done it already, take the time and scroll back as far as you want to on the MT4 and see what I mean; what you will find will have the hair on your arms standing up. No secret really; W.D. Gann’s theory & methods combined with my own proprietary theories revolving around vector calculus, presented in a “visual mode” in real time to “get us close” to tops and bottoms. As I have argued for years, I don’t need to be exact in this game; close gets you millions if you follow the rules.

With the advent and invention of the “demo account” [play money], nobody is ever put in the position of not knowing what they are doing before real money is at risk. Remember Christina from yesterday? The first day I turned the laptop around and showed her the MT4, which was the very first time she had ever seen it, she freaked out and said something along the lines of, “Oh my fucking God, you want me to understand this shit? This is fucking Chinese! How do I … what does this symbol … WTF does all this mean, and I ain’t never going to understand this shit!!” A few short months later and she is making trades as good as I am, and in some cases getting better fills, because she is a few seconds faster; and no, I’m not kidding about this.

It’s a process folks, it’s not rocket science or brain surgery; fear of trading comes from “unfamiliarity” of the correct process on how to make money. Once you know, then see with your own eyes your account grow [whether demo or real, it makes no difference], doing the “right thing” [i.e. being disciplined, showing patience, and following the rules] becomes a positive feedback loop! And if that doesn’t motivate you, then I can’t help you.

Christina’s first month, she tried to quit on me about 9 times [but of course I said no], had on 2 occasions whopper losses because she didn’t want to take a small loss on a position, and basically went mental screaming at the computer; slowly, she came to realize you can’t think about this stuff, that “brains” and thinking get you into trouble, and that her “intuition” about where it was headed was “faulty” and not reliable. “Hey –vegas, does this shit happen to everybody who is new to this? Are other traders as fucked up as me? MY SHORT ANSWER: “Yes, and worse.”

If I had to pick a moment when it turned around for her, it was when she was long and didn’t get out at the exhaustion lines because she thought, “It’s going a lot higher.” It didn’t, the exhaustion line hit was the top for the day, the market turned around, and when the music stopped she was looking at a huge, huge loss in her demo account. She looks at me when it’s over, totally disgusted with herself and says, “Fuck this … I don’t have what it takes to do this.” MY RESPONSE: “Bullshit, this happens to everybody … you ain’t special … you got your ass handed to you because you did it “your way”. And guess what? Your way is the “loser way”. If this shit was easy, every low life in town would be doing it … You got a decision to make … You want a life? You want to leave the Pudding Business you are stuck in? Then STFU, follow the fucking rules, and stick your pride where the sun doesn’t shine … Suck it up baby and do what you are here to do… namely, learn to trade … I’m teaching you, not the other way around … not because I’m smarter than you, but because I’ve been doing this before you were born and have absolutely walked in your shoes … been there, done that … it’s a humbling experience trading is, and it makes you look in the mirror and ask yourself if you can be disciplined and show patience and follow algorithm rules … if you can’t, you’re fucked … if you can, there is no limit to the freedom life can give you because you will make more money than you can dream at the moment … the choice is yours. Of course, she stayed.

I think that incident crystallized in her head the importance of making consistent money trading, and forget about the idea of the “home run” and trying to be an analyst. It also brought her renewed respect for the exhaustion lines as “predictors in real time” of short term tops and bottoms. “Hmmm, maybe this –vegas guy is on to something … damned if I can see “any holes” in this … and worse, every fucking day he takes money out of this thing … and most definitely, he doesn’t do the “stupid shit” I do… OK, I’m a believer … Shit, time for ME to start making money like he does … Hell, he lives like he wants, and that’s what I want … and if trading the algorithm can do that, count me in ‘til the fucking day I die!!” [Did anybody see the light bulb in her head go on besides me?]

And so, here we are, another day another dollar, and another buy at the lower exhaustion lines, that seem to the uninitiated like they are intentionally placed at tops and bottoms by some unseen, all knowing force. Some days I shudder to think what a guy like Gann could do with modern day computing. Until tomorrow …

Have a great day everybody!

-vegas

OPEN A DEMO AND/OR LIVE ACCOUNT AT THE LMFX LINK IN THE “DOWNLOAD LINKS” SECTION OF THE WEBSITE TITLED “OPEN TRADING ACCOUNT – DO IT NOW!”

OUR LMFX GOLD TRADING PAMM WILL BE READY AS SOON AS LMFX GETS THROUGH WITH UPGRADES TO ITS PAMM SOFTWARE! WE ARE VERY CLOSE; OPEN YOUR LIVE TRADING ACCOUNT TODAY, FUND IT, AND BE READY TO PARTICIPATE!

WHY TRADING MATTERS

“I’M BETTING YOU’VE ALREADY APPLIED!”

The timing seems appropriate enough, given the fact there are no decent jobs available anywhere that pay anything worth putting up with corporate bullshit, and the fact your healthcare is not only outrageously expensive but will bankrupt you if you actually have to meet the deductible. And of course, with the fairy tale numbers coming out of President Empty Suit’s math Unicorn department on Friday, it was with high interest I read a post on Zero Hedge this morning having to do with the Pie Holes at the FED.

Now, usually I don’t post other people’s remarks because they aren’t that interesting, but from today’s postings over at Zero Hedge [ZH] comes one from “conraddobler” that pretty much sums up the “Pudding Business” as I have explained it many times. Below is his post of comments being made to the linked article.

First, the linked article:

http://www.zerohedge.com/news/2016-08-30/centrals-banks-welfare-wealthy

Second, comments from one “conraddobler” in quotes:

“The way of the world now is on a path to turning us all into those chickens you hear about that never see the light of day just egg to grave exist in a factory farm designed to lay eggs.

Shot full of hopium and bullshit we are suppossed to just go to our corporate jobs, work for our corporate masters, turn in our sniveling rivals, age from all the bullshit they give us to mine our life force, give them servile malleable children they can take from us earlier and earlier.

Then we should lose back all our hard earned savings to the casino and politely die shortly after running out of money.

The longer this goes the more pretenses they'll drop until we'll look EXACTLY like those chickens if they have their way.”

Well, there you have it in a nutshell, unless of course you do something about it and learn [yes, properly learn] to trade and leave not only the “Pudding Business”, but also the hopeless “rat maze” most of you find yourself.

What brings me to this today are a bunch of things, but mostly my most recent “trainee” who I just finished training “one-on-one” with Yours Truly for the last 5 months.

Before you start rolling your eyes and thinking, “Well, yea, if I was sitting next to you for 5 months … sure man … but I’m stuck here in Bumwater, Idaho population 165, cold as shit in the winter and blistering heat in the summer, have no life with no prospects, and I’m pretty sure I’m a complete “fuck-up” cuz my wife says so, and I’m not sure I can do this.” Ok, I get this part; let me, however, impart to you 2 important things though; 1) nobody put a silver spoon in my mouth when I started back-in-the-day, and 2) on paper my last “trainee” Christina makes you look like a brain surgeon.

More to the point; there are very, very few of you reading this who will ever even come close to having a “worse” resume for trading than Christina; age 26, no high school degree [dropped out] and so by default no college, no job, not likely to ever get a job that means or pays anything, and exists on government benefits. And yet …

What Christina does have, though, are 1) street smarts [she's smart as hell, just not educationally credentialed; she messed that up], 2) a burning desire to make money any legal way possible to get the hell away from government, and 3) enough brains to know that trading gold via the volatility algorithm is her “ticket” to the life she wants/needs/deserves.

Starting after Memorial Day and to the first of August [about 7 weeks total] Christina never had a losing day using the algorithm, and in her 100K demo she only made algorithm trades [I know because I checked] using about 10X leverage, and made about $120,000.

Throughout her training, I made her come to realize that her demo was real; that there is no difference between demo and real when it comes to trading. What you see is what you get and there isn’t any difference. Now, thanks to friends and family, she is opening her real account and starting to trade for real; this is now her “profession”. So, don’t sit there and tell me you got it worse than Christina, cuz I ain’t buying what you’re selling.

It doesn't matter how little money you have; Christ, anybody with $100 can set up an account with LMFX, fund it via a debit or credit card, and start trading gold in 1 Oz. increments. I recommend $100 in account equity per 1 Oz. traded; that's just a tiny bit below 10X leverage given golds current price. Granted, you aren't gonna be picking out that new red Mercedes Benz next week, but using consistent 10X leverage you'll have over $1 million in your trading account within 8 years if you build your volume with your profits. So, I don't wanna hear how it can't be done, cuz for one, I did it, and secondly Christina has just started her journey to "Millionaire-hood", so why don't you join her?

The worst off among you [financially that is] will be Millionaires within 8 years; a lesser amount of time, of course, if you start with more; the choice is yours. You can do it yourself, or I can do it for you in the PAMM [17% incentive fee]; the point is, if "conraddobler" was describing you earlier, you got to do something to change your life.

Now, for some, mastering the algorithm isn’t going to take you 5 months; everybody is different. What it does require is discipline and patience, 2 things that are free and you don’t need a degree from which you have student loans to repay. If you are totally new to all of this, don’t worry, everything you need is downloadable over in the “Download Links” section of the website; whether you are a total “Newbie” [like Christina was], have some trading experience, or are just sick of losing money to the Liquidity Provider Casino, I got you covered. Plus, and this is important, you got me here offering you email support whenever you need it.

The choice is yours; escape to success or stay in the Pudding Business.

In today’s gold trading, I didn’t have any trades that met algorithm criteria; when the price is below the daily calculated white horizontal line, we need to see at a minimum a $12 range before we buy any type of retail sell stop “waterfall”. Today’s range, so far, is a few cents over $10, and more importantly there really haven’t been any waterfall moves to speak of outside one for a couple of Dollars. So, when I don’t get what I need to trade, I don’t.

Have a great day everybody!

-vegas

OPEN A DEMO AND/OR LIVE ACCOUNT AT THE LMFX LINK IN THE “DOWNLOAD LINKS” SECTION OF THE WEBSITE TITLED “OPEN TRADING ACCOUNT – DO IT NOW!”

OUR LMFX GOLD TRADING PAMM WILL BE READY AS SOON AS LMFX GETS THROUGH WITH UPGRADES TO ITS PAMM SOFTWARE! WE ARE VERY CLOSE; OPEN YOUR LIVE TRADING ACCOUNT TODAY, FUND IT, AND BE READY TO PARTICIPATE!

A CRITICAL COMPOMENT OF MAKING MONEY

BUY BREAKS, SELL RALLIES; RINSE, REPEAT!

Well, we are visited again today with more “hurry up & wait”, as the financial world turns its’ hungry eyes towards Friday, and the release by the Bureau of Unicorns & Fairy Tales” of the most important employment report evahhhh! Christ, it’s only Monday, and already “talking heads” are pontificating about the “importance” to the FED of these August numbers; a stronger than expected number above consensus [180K] and we are told it’s a “slam dunk” rates get raised September 21, while a weak number throws us back into “bad news is good news” for gold. Given this headwind, it’s hard for me to see how gold sustains itself higher in the next few days; more likely slow breaks to nowhere that does nothing but set sell stops off before it attempts to rally again.

And speaking of “rallies & breaks”, our old friend Captain Obvious is back today with a guest appearance.

 

And while it would be nice for me to believe many of you are buying the breaks and selling the rallies, which should be obvious if you want to make money, most of you instead buy/sell the breakout from technical support instead; and that has less than a 50% probability of success on any given day.

Gold especially, given its erratic nature in predictability for Newbie traders, is a recipe for losses without the volatility algorithm you can download [or view] for free; once you know “what you have to do” versus “what you want to do”, you flip the probabilities for success on their head and it becomes a winning long term trading/investing paradigm.

I will admit, the hardest part of trading is knowing “what you don’t know” will come up and hurt you; for me, that process has always been one of keeping my “ear to the ground” and making sure my algorithms are dynamic enough to withstand changes in macro trading paradigms; nobody sends you an email to tell you the rules have changed.

When things “should work” but don’t, always keeps me seeing “red flags up the flagpole” and searching for ways to stay ahead of every other professional trader out there.

What we have seen over the last few years, is an absolute explosion of HFT’s [very high frequency trading systems proliferate beyond stocks into FX and metals], artificial intelligence [AI’s] systems tied into the HFT’s, and outright, blatant manipulation of markets by Central Banks. They don’t even hide it anymore.

As a trader, you no longer have the luxury of waiting for a confirmation of trend change in the short term to initiate a buy; if you do, more than likely you just bought the high or very near it. Bullion banks, dealers, liquidity providers, and large hedge funds spend millions in software and math Ph.D’s every year to GET YOU TO MAKE TRADES YOU DON’T WANT TO MAKE BUT DO ANYWAY BECAUSE YOU THINK A “NEW” SHORT TERM TREND HAS STARTED OR YOUR STOP GOT HIT. In any event, they win and you lose.

And all of this brings me back to the “obvious”; buy breaks and sell rallies, not the other way around! Which is why the volatility algorithm is structured the way it is; basically to get you long very close to a short term bottom, and then pump it out and liquidate on the way up to those who are “late”. One of the problems Newbie traders have is “regret” if a buy trade goes higher than where they sell it; so for example, you buy gold at 1320 and sell it at 1322.50 and 30 minutes later it’s sitting at 1325, and what I hear is, “oh man if I only had held on a little longer I could have doubled the profit on the trade!! Geesh, what a dumb ass I am!” [Umm, not really]

Trading is about making money, not validating to yourself how “dumb” or “smart” you think you are; you’re never going to consistently buy the lows of the day and/or sell the highs of the day for profit in any market. The key is to “take” what the market gives you consistent with very high probability trades, which over the history of trading [and in gold that is about 40 years] have proven themselves valid. I don’t care where the price of gold is because I don’t deposit into my bank account “price”; I deposit “profit”; there’s a big difference!

Turning to today’s trading, I made one algo trade [could have done more, but this market is waiting for Friday, so I’m not pushing it] which is directly below.

 

Today just might be one of the sickest market rallies in gold I’ve seen in a while; struggle, struggle, pop some buy stops from shorts, fall and then repeat the process over yet again. But, whatever happens today through Thursday will pale in comparison to Friday, when we get to play “Stump the Math Unicorns” with the idiotic NFP report. Oh, see my joyous face.

Have a great day everybody!

-vegas

OPEN A DEMO AND/OR LIVE ACCOUNT AT THE LMFX LINK IN THE “DOWNLOAD LINKS” SECTION OF THE WEBSITE TITLED “OPEN TRADING ACCOUNT – DO IT NOW!”

OUR LMFX GOLD TRADING PAMM WILL BE READY AS SOON AS LMFX GETS THROUGH WITH UPGRADES TO ITS PAMM SOFTWARE! WE ARE VERY CLOSE; OPEN YOUR LIVE TRADING ACCOUNT TODAY, FUND IT, AND BE READY TO PARTICIPATE!

 

THE YELLEN ROLLERCOASTER

“YOU GO GIRL!”

I don’t even know where to begin to start today’s post, other than to say that everything I have been talking about the last couple of weeks came to fruition today; thank you FED retards [Bullard, Yellen, Fischer, et al] for making roulette look like a viable investing/trading strategy.

Not happy to either screw the longs or the shorts, in whatever market you wish to look at, the “Oracles at J Hole” chose to do both, with well timed and placed statements that roiled markets all morning and into the afternoon. If there was ever a bunch of bigger clueless Twits running things, I haven’t seen ‘em in my lifetime. And while people may think I’m being facetious, I’m dead serious in my objections to people in financial power who literally don’t have a clue, but do their damnedest to try and convince me [because of their Ivy League degrees] that they got things under control. NEWS FLASH: “You don’t and markets know it!”

As for gold trading today, the algorithm pretty much “nailed” it the whole way around; since it’s Friday, I’m too lazy to post charts, but all you have to do is scale back on the M1 with the algo on it and you’ll see the moves with the exhaustion hits [we got ‘em all today RM=1 to RM=4]. And of course, once the move above 1340 happened and the range was around $23, all “bets” come off the table as probabilities plummet for successful signal trading going forward. And so, the biggest move in weeks all happens in about 15 minutes [remember “Speed of Light trading?], as if the world turning hinged on inane comments made by an old dame at the nursing home. As I have said before, the rules for trading have changed; there are no fundermentals anymore; all that’s left are comments by Central Planners who desire outcomes.

So today, the wind gets taken out of the Yellen sails by Fischer, who puts September rate hikes very much on the table come September 21, after her “blah blah”. No worries, next week we get to “hurry up & wait” for the Friday NFP report, which by Wednesday will become “the most important employment report evahhhhh”! Still plenty of time for some more “FED speak” to raise stock prices by hinting at something that might ease rates or simply put everything on hold. All in all, a total F-ing joke.

All week long, major players were hinting this was a “watershed” speech by Yellen, and that volatility had shrunk going into the speech as expectations had begun to grow that markets would gently move to the upside; everything planned to generate steady to slightly higher stock prices, because as we all know, that’s what the 0.01% want and expect. Too bad it never works out that way; and the “good news” is we get it again next week with NFP. Oh joy. I’m so outta here … Until Monday.

Have a great weekend everybody!

-vegas

OPEN A DEMO AND/OR LIVE ACCOUNT AT THE LMFX LINK IN THE “DOWNLOAD LINKS” SECTION OF THE WEBSITE TITLED “OPEN TRADING ACCOUNT – DO IT NOW!”

OUR LMFX GOLD TRADING PAMM WILL BE READY AS SOON AS LMFX GETS THROUGH WITH UPGRADES TO ITS PAMM SOFTWARE! WE ARE VERY CLOSE; OPEN YOUR LIVE TRADING ACCOUNT TODAY, FUND IT, AND BE READY TO PARTICIPATE!

THE MONEY TSUNAMI

LEARN TO SURF THIS WAVE OR GET CRUSHED BY IT

The genesis for today’s financial trading problems started way back in the late 80’s, and have escalated ever forward since then; having stood in the SP500 futures pit in October 1987, and watched the FEDS very first effort in the newly created “Plunge Protection Team”, whose sole purpose was to effectuate an outcome, I can tell you first hand what a “tsunami of money” looks like when CNTRL-P is behind it.

Fast forward to the start of 2012, when 2 things of note occurred; 1) Obumba is re-elected and therefore has a “free reign” ahead of him with no accountability to voters, and 2) a very coordinated effort by the world’s Central Banks [and their banker the BIS] to slam gold lower began in earnest; forget fundermentals, there ain’t none. The only thing that matters anymore is the "desired outcome".

Next, we hit January 2015 and the CHF debacle; where suddenly, the Swiss National Bank says, “Hey, remember that 1.20 peg to the Euro? Fugetaboutit, OK?” Tons of traders, brokerage houses, and banks got crushed within seconds, thank you very much Switzerland. But, and this is a very big but, the SNB is now free from throwing Swiss Francs at the useless EURUSD, and can now buy U.S. stocks instead! [Another desired outcome for the world’s financial elite.]

So, here we are today, and the market [gold, stocks, pick ‘em] is held hostage once again by useless, spineless, dufuss Pie Holes political hacks gathered up in Jackson Hole, Wyoming who will unleash words that mean nothing, and by doing so, set in motion the “tsunami of money” that will hit your trading screen within seconds of some FED Pie Hole’s inane remarks. And then within a few minutes … most likely crickets, as the markets await another “signal” from the scattered chicken bones spread on the road for our next clue from which direction the next money tsunami will come from. And on and on it goes … welcome to the new “normal”, where the only thing that matters is “desired outcomes”.

When I came in this morning and saw we had about a $4 range overnight in gold, I just wanted to rush that application to the bearded lady at the circus from yesterday; a nothing day in the cards, where maybe gold options expiration and [gulp!] a durable goods orders report at 08:30 New York time, might [and I say might] give us a goose lower for a buy signal, but I ain’t countin’ on it. And with the range so very low and tight, I’m not buying “waterfalls” lower on the M1 with a $7 or $8 range; probability wise it just isn’t a good enough bet over the long run because [under normal circumstances] most of the time that range will get expanded somehow some way lower in price, and I don’t want to get caught when that happens. Generally, I have to have at least $11 - $12 from the range before I start buying “waterfalls” lower when the market is below the daily white horizontal line.

So, let’s turn our attention to “waterfalls”; first, let’s look at what I don’t want to see, which is a “hanging man” candlestick chart formation on the waterfall at the middle or end of an M1 move. Directly below the definition.

Generally, on moves up they are called “hanging man” and are considered bearish for prices. After a sustained move down they are called “hammers” and are considered bullish for prices. On a “waterfall” after a sustained move, most often there is a re-test of the low and quite often a double bottom is put in before prices move higher. At or near the start of a move down, though, I consider them bearish for prices and that’s why I don’t buy them. Directly below is a daily candlestick in gold with the white arrows showing “hanging man” patterns.

 

Now, moving to the M1 from today, we get a “hanging man” pattern just after the start of the move down; this is not a “waterfall” I want to buy. Directly below the M1 from this morning.

Ok, so what is it I want to buy exactly on a waterfall when market price is below the white horizontal line; from yesterday’s 2nd exhaustion move, the M1 finishes the period on the low. Directly below is what I want to see, and when I get it, I buy.

Looking at today’s action, there wasn’t anything to do; range too small, below the white horizontal line all day and no large spikes [waterfalls] on the downside that justified a trade. I sit and wait for the Oracles at Jackson Hole to educate us with their stupidity brilliance tomorrow. Get ready for the “money tsunami” once ChairSatan Yellen starts to speak; and since it’s a Friday, you just know somebody is going to get caught the wrong way and panic. Until tomorrow …

Have a great day everybody!

-vegas

OPEN A DEMO AND/OR LIVE ACCOUNT AT THE LMFX LINK IN THE “DOWNLOAD LINKS” SECTION OF THE WEBSITE TITLED “OPEN TRADING ACCOUNT – DO IT NOW!”

OUR LMFX GOLD TRADING PAMM WILL BE READY AS SOON AS LMFX GETS THROUGH WITH UPGRADES TO ITS PAMM SOFTWARE! WE ARE VERY CLOSE; OPEN YOUR LIVE TRADING ACCOUNT TODAY, FUND IT, AND BE READY TO PARTICIPATE!

NOBODY IS HERE? TIME FOR “PUKEFEST”

IS THE MARKET OPEN NOW?

Of course, as with most “shoes” there’s always another one to drop, and a few minutes later the selling commenced to take us again to the exhaustion lines. Directly below, the 2 trades of the day per the algorithm with the market price below the daily calculated horizontal white line.

Now, isn’t it amazing that with nothing going on, the market literally “dead in the water”, no volume to speak of, and we’re sitting around the 1337 level, somebody decided to just sell 10,000+ futures contracts at the market; even a second grader could tell you doing something like this is not in your best interest in getting a decent fill. Exit question: what if the seller didn’t care about price? Which begs the next question: what kind of customer doesn’t care about price? Short answer: one that can hit the “CNTRL-P” button for margin and losses and only looks to 1) enrich the bullion banks & dealer community with front running news so they can already be short and buy on the way down so as not to be accused of causing the move lower and be labeled a “manipulator”, and 2) absolutely crucify retail sell stops and hurt customers that trade this market expecting a liquid market. “Hey rube, how dare you short our policies and thus be long gold and try and make money off of our stupidity?”

All of this, I think, was prompted in large part by the recent FED minutes showing many of the voting members wanting a discount rate hike last meeting; they fell one vote short of that. And with so many traders & investors long gold before even the Brexit vote, it’s a “slam dunk” a few million people peeked at the daily chart and thought, “Yup, that 1330 level is a great place for my “protective” [protective? Really? Protect you from what?] sell stop on my long position.”

Now, we look to the psychological level of 1300 – 1307 area, and if that goes, we could see a pretty sharp move down to the 1275 level rather quickly; I could see this happening if 1) ChairSatan Yellen’s Jackson Hole speech to be given Friday is “hawkish” on rates, and second if the FED pulls the trigger at the September FED meeting. Before that, though, we get the NFP on Friday, Sep. 2, and we all know what total bullshit this number can bring to trading.

Right now, what the market needs to see before it can rally in the New York session, is an Asian & early European sell off, followed quickly by a move lower as New York opens, followed by a rally that then takes out the days high and expands the range. Market rallies almost always start as short covering first, and then when there isn’t any selling to speak of to take it lower, market momentum changes and the buyers show up; until we see this kind of scenario, any early rally in New York in gold will be met with selling.

Have a great day everybody!

-vegas

OPEN A DEMO AND/OR LIVE ACCOUNT AT THE LMFX LINK IN THE “DOWNLOAD LINKS” SECTION OF THE WEBSITE TITLED “OPEN TRADING ACCOUNT – DO IT NOW!”

OUR LMFX GOLD TRADING PAMM WILL BE READY AS SOON AS LMFX GETS THROUGH WITH UPGRADES TO ITS PAMM SOFTWARE! WE ARE VERY CLOSE; OPEN YOUR LIVE TRADING ACCOUNT TODAY, FUND IT, AND BE READY TO PARTICIPATE!

THE CIRCUS IS CALLING

“RESUME? I NEED TO APPLY WITH A FRICKIN’ RESUME?”

It’s about this time every year, last year’s Yuan devaluation surprise notwithstanding, that trading turns into absolute “shit on a stick”. You can freeze that stick, put sugar and cinnamon on it, put a fancy napkin around it, but no matter what you do all you still got is “shit on a stick”.

And so, I can hear the circus calling me; ever so sweet and lovable voices in my head telling me once again how wonderful it would be to just “turn the damn machines off” and do something worthwhile and beneficial for our modern day dysfunctional society; hence my application is just sitting here waiting to be mailed to the nearest circus so I can be a professional groomer to the bearded lady. “Hey, I ain’t interested in no apprenticeship; I want that high level executive groomer job promised me in the magazine, OK?”

And just as I’m about to hand it “rush delivery” to the mailman, gold moves and I find myself in a trade. Directly below the first and only trade of the day, shortly after the 08:00 New York open [15:00 LMFX server time]; yea, I know there will be other trading signals today, and yea I know it’s early. But I also know it’s late August, and with no news to speak of except Cankles can open a jar of pickles to prove her health [Christ how this country has gone to complete and utter hell in a couple of generations], I’m not really interested in hanging around for “mystery ticks” out of nowhere that are nothing more than dealer stop hunts. Rinse, repeat about 5 times and there’s your day.

  

As the algorithm name suggests [that would be “volatility” Obama voters just waking up], intraday volatility is the key component in making money; take that away, and have gold put in $6 - $9 ranges [about 0.50% - 0.60% given the current price], and you are going to have a tough time making money. Why? Short answer: there is no follow through to any move; all there is are short spikes up/down directly aimed at retail spec stops. When the bullion banks and dealer community see volumes fall off and ranges come in, they lick their collective chops because they know they can get you to buy the highs and sell the lows [hopefully multiple times in a day].

And what time of year are we in right now? Yes, and until proven contrary, expect rather thin volumes and very constrained ranges until Labor Day is over [Sept. 5]; what that means of course is to make early trades based on algorithm signals and then after you are up money, leave it the hell alone. Be like the rest of us beach bums down here in the Caribbean and find something to do but look at a gold chart that has an EKG of a cadaver at the morgue.

And just as I’m ready to leave for the beach and kick back that first Corona with lime [“Hey, I need the Vitamin C Ok?”], gold breaks down back into the 1330’s. And I’m telling you, the longer we hang around in the 1330’s, the more the probability those lows from days and weeks ago between 1328 – 1330 will get violated in a big way; and if you dare to get long between 1331 – 1333 with a tight stop, just be prepared to get filled around somewhere between 1320 – 1325 when the sell stops get run. Hopefully, this action doesn’t happen in Asia and/or Europe and the action can be confined to the New York session.

Well, here we are past Noon, and gold is starting to drift like a late night party at the nursing home; I’d be shocked if anything moved more than a buck or two the rest of the day. Another beautiful day here in Paradise; the dog says it’s 1) time for a beggin’ strip and 2) let’s hit the beach!

Have a great day everybody!

-vegas

OPEN A DEMO AND/OR LIVE ACCOUNT AT THE LMFX LINK IN THE “DOWNLOAD LINKS” SECTION OF THE WEBSITE TITLED “OPEN TRADING ACCOUNT – DO IT NOW!”

OUR LMFX GOLD TRADING PAMM WILL BE READY AS SOON AS LMFX GETS THROUGH WITH UPGRADES TO ITS PAMM SOFTWARE! WE ARE VERY CLOSE; OPEN YOUR LIVE TRADING ACCOUNT TODAY, FUND IT, AND BE READY TO PARTICIPATE!

WAKE ME IN SEPTEMBER

CUZ MORNING GOLD TRADING IS MAKIN’ ME SLEEPY!

Seriously, trading gold today was hard; basically a crap day with a small range going nowhere fast. Take a few random minutes for some stop hunts by the dealer community, and that pretty much wraps up the day’s activity. However, there were 4 trades from the algorithm from 08:00 New York time to about Noon; after that, I’m not interested due to time constraints of the trading day combined with a very tight daily range. The odds here is that this stuff dies soon, and I don’t want to push the envelope hoping for some volatility where there is none. Directly below in successive order the day’s trades.

 

I’m not sure what the rest of the week is prepping for; it sure feels like today’s “death march” higher is a fake out, and I’m still looking for the retail stops below 1330 to get taken out and slaughtered; as long as we hang out here in the 1330’s with no real move higher, the likelihood of gunning for the stops becomes more real each trading day. Below 1333 during the New York day, and you have got to be really careful about being long the market because the move below 1330 could get really messy really fast; any stop you have on the downside, if it gets lumped in with the rest of the world, has the potential to get filled a lot lower than you think.

If you’ve visited the LMFX website today, you’ll notice they have made widespread changes. The PAMM pages have also been updated, but the ability to create and activate a new PAMM has not been linked yet; expect this to be done here shortly. As soon as it is ready, I’ll create our PAMM and we’ll get rolling. In any event, I’m targeting the day after Labor Day to start trading, which is 2 weeks from today.

If you are interested in participating, first you need to open a regular account, and then choose your method to fund it; opening an account takes about 2 minutes and you’ll need to verify your identity [copy of passport or drivers’ license sent via email attachment] and verify your physical address [copy of utility bill or first page of bank statement]. Once the PAMM has been created, go over to the PAMM page and choose to participate in our fund [I haven’t decided on a name yet – I’ll let you know]; money will be taken from your personal account and placed in your PAMM account, and the funds placed in the master pool, which is what I trade.

Minimum amount to start is $400, and additional deposits can be made in amounts equal to or greater than $200. There are no lockout periods, and there is 100% transparency with what I do on your behalf. All trades will be tracked by me, here on my website, as well as by LMFX in their tracking results. My incentive fee is 17% of profits, and there are no other charges or fees. It’s really a very simple process, and if you hve any questions/comments, drop me a note at traderzoogold@gmail.com and I’ll get back to you ASAP with a personal response.

Have a great day everybody!

-vegas

OPEN A DEMO AND/OR LIVE ACCOUNT AT THE LMFX LINK IN THE “DOWNLOAD LINKS” SECTION OF THE WEBSITE TITLED “OPEN TRADING ACCOUNT – DO IT NOW!”

OUR LMFX GOLD TRADING PAMM WILL BE READY AS SOON AS LMFX GETS THROUGH WITH UPGRADES TO ITS PAMM SOFTWARE! WE ARE VERY CLOSE; OPEN YOUR LIVE TRADING ACCOUNT TODAY, FUND IT, AND BE READY TO PARTICIPATE!