buying UUP, gold chart update, TCK straddle expires -13%, housing bottom not even close

We buy UUP, PowerShares US Dollar Bullish ETF, last traded at $22.29 and we will stop out should it close below $21.80

Click this text to see charts in support of this position.



Gold 5-year chart with possible Elliot Wave labelling, indicating we are near the top of subwave "iii" of wave "5", at which point gold would be making a major top of significant duration.



A simple explanation is that gold should soon see a decline to roughly the $1000 level before a sharp push to new highs.



Our TCK November straddle expired Friday, at an overall loss of 13%.

Thus far on options plays in this blog we scored +100% on BUD , +96% on UNG , and now -13% on TCK. It's admittedly a disconcerting trend of decline, however still an average score of +61% which we're very pleased with.



Housing Bottom? "Not Even Close," Barry Ritholtz Says

A fifth-straight monthly gain for the Case-Shiller Index Tuesday and Monday's stronger-than-expected existing home sales report is giving renewed hope to the housing bulls.

"Disregard them," says Barry Ritholtz, CEO of Fusion IQ, who notes the existing home sales number was juiced by sales of cheap condos and various government programs. Meanwhile, the Case-Shiller results were below expectations.

"We are not even close to a bottom in housing", says Ritholtz, who estimates national house prices remain 15-20% overvalued, based on the traditional metrics of: median income-to-median sales price, the cost of owning vs. renting, and housing stock as a percent of GDP.







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