VXX / HUV Stop Revision, Timing A Gold And Silver Bounce

It seems that we enjoy the blessing of perfect timing this week. 

Not wishing to be complacent, we'll raise the stop on VXX by nearly 3% to $17.90 or on HUV to $9.80, both on a closing basis.


Action in gold and silver continues to be convulsive. For years both have moved in tandem with equities - the exact opposite of what a real safety hedge should do - and today that was certainly the case. This is problematic for bulls and for those looking to catch a bounce since equities are long overdue for a material correction and that may well have begun today.

We'd turn more much more bullish about a bounce when GoldPriceDirection.com turns bullish.  Their indicator's accuracy is without peer, as can be seen here.  We've not been paid or asked to say so.

A few MarketWatch articles worth considering that tie in with themes on our blog:

Gold will not make a comeback

‘Number’ on Fed backed tapering as early as June

Bernanke out by August, QE ends, rates up: Crash

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