HIJACKED

                                          Me & Gold  - BFF!!

Getting hosed and held hostage by a dealer is no fun, and today was my day. The bullet had my name on it; the only good news is that, dollar wise, it was fairly insignificant. The gold dealer never even kissed me, instead holding my order for a full 2-3 seconds before filling me a good dollar away from where I thought I was going to get filled.

Of course after that it was straight down to my stop a few dollars away, and you have the makings of a nice hijacking. Yes folks, even I get stung by these criminals every now and then. Nothing you can do about it, as there is absolutely no rule of trading that says it can’t go a lot farther against you in a very short period of time.

So, we take the paper cut and move on to tomorrow.

Crude put in its range and I had a few trades here today; lost 2 trades made it almost all back in the next trade off the low of the day. Pretty much a wash in the 3 trades.

Rumors of China being overthrown, Saudi Arabia pumping more oil to ease supply fears, and the news from a large miner that demand of iron ore is easing in China, all factored into today’s trade.

Going forward into tomorrow I’m looking to buy weakness in crude; playing the daily ranges that have been in effect since the end of February. Instability in Iran, supply problems, and the world awash in excess liquidity are all factors in supporting crude.

Only a move below 104 / bbl. would change the overwhelming bullish tone this market is exhibiting. While gold is getting walloped almost on a daily basis, crude has a better fundamental outlook at least over the next 5 – 8 weeks as we head into the peak demand driving season for distillates in oil.

Rumors notwithstanding, I’d rather be long crude on breaks than try and be long gold and be subject to these whipsaws.

Have a good day everyone.

-vegas