From Tight Ranges Come BIG MOVES!

In yesterday's post, Are We There Yet?, I noted that the HUI Index of Gold Mining Stocks had been in a tight range.

I have been for months posting that the precious metals have been in a significant DOWNTREND.

Today the HUI broke that tight range to the DOWNSIDE.

The HUI posted a new LOW for the DOWNTREND today!

I personally look at the precious metals through three different lenses: trading, investing and stacking. Each of these three is very different and should be treated differently.

First trading, I trade the Mining Stocks both long and short simply because these markets are volatile with big moves in prices. For the past few months I have not seen any reason to trade to the LONG side and only concentrated on SHORTING the HUI Index. I rarely hold a position for more than a day.

The trend is down and the trend is your friend.

Second Investing, I invest for the long haul. When I invest, I rarely look at the price, quite frankly I do not care. I personally do not "invest" in the mining stocks, been there and done that. Although, that day may come again, but for me that day is not today.

A perfect example of investing, is how I view HIVE. For five years I have posted on this Blockchain, with belief that somewhere down the line, in my aged years, I will still be posting and earning a wonderful income plinking away, posting charts, photos and memes while drinking a cold brew.

The dreams of the @handofzara are in fact rather simple.

Third Stacking, when I stack I harken back to the words of my Grandmother. Mind you, the @handofzara is not a "spring chicken".

Foghorn and I went to school together back in the day. Truth be known told Foghorn was perhaps the best teacher I ever had.

Once she put a silver coin in my hand, while whispering in my ear "hold on to this, you may need it to buy something to eat one day."

Every coin I "stack", I put away knowing I might need it one day to buy something to eat.

Maybe that is why I garden, because I would rather grow my own food than part with a silver coin!

I hope that you might take a little wisdom in the three different ways that I see the precious metals.

Peace out and Stack On!