MAY 18 JMU

Juniors PGEN Marines Update (JMU).

(Pronounced “JAYMEW”)

 

 May 18, 2016

 

 Junior PGEN Marines Update 

 

  1. Please click here now: http://gracelandjuniors.com/wordpress/wp-content/uploads/2016/05/2016may17chow1.png Chow Tai Fook is China’s largest retail gold jeweller.
  2. If it’s beginning a major rally, your gold stocks may, instead of beginning the “correction” demanded by all the gurus that own near zero of them… there could a rally acceleration phase transition in play!
  3. What if Chow doesn’t rally, and instead declines into my next pgen to zero buy points? Well, then your gold mine stocks could take a bit of a breather.
  4. Meantime, please click here now: http://gracelandjuniors.com/wordpress/wp-content/uploads/2016/05/2016may18mux1.png That’s the daily McEwan (MUX-NYSE) chart.
  5. It is a picture of bullish beauty, from an Edwards & Magee classic technical analysis standpoint. But, RSI is not confirming the new minor highs being made.
  6. It’s staged a 3 bagger advance from the fall of 2015 lows, and pgen marines can be pgen buyers on every 10 cent decline, but be open to a little deeper decline happening soon.
  7. Please click here now: http://gracelandjuniors.com/wordpress/wp-content/uploads/2016/05/2016may18trx1.png That’s Jim Sinclair’s TRX. It went nose-to-nose with MUX during past run-ups, but almost went off the board in 2015.
  8. One of you asked if Jim might have more gold on the property than the reports indicate. I have no idea about that specifically, but I will say that Jim used to work on Harry Schultz’ newsletter back in the 1970s, so he would be familiar with the creation of Agnico Eagle from Dumagami. 
  9. Paul Penna built the Eagle, and he used to “accidentally” forget to report reserves, and production for that matter, when the price was low, and then “find” them magically, when the gold price was higher.
  10. I’m not going to predict that’s the case with TRX, but I will say that Jim is 100{7d2759035a2769ee7a6afa7c646e6642b67314b0cd0e17ac0c6ae4f965ff87d9} aware of that strategy. If YOUR favourite mining company releases great news when the gold price is tanking and most gold stocks are tanking, it’s wasting ammunition in a big way.
  11. Modest news announcements that are positive can have a huge upside effect on the share price if announced in a soaring market.
  12. Whether there’s a flag or a double top in play, technically, on TRX is unknown. What is known is that while the share price is way below its MUX “competitor”, it’s staged a 3 bagger advance in a much shorter period of time than MUX did.
  13. Please click here now: http://gracelandjuniors.com/wordpress/wp-content/uploads/2016/05/2016may18kgji.png That’s Chinese largest gold jewellery manufacturer, Kingold.
  14. I highlighted a “juniors-style” H&S bottom pattern on it, as the pattern formed, for you. With juniors stocks, there is significant bankster naked shorting at times, and many other price discovery scams. 
  15. So, you need to use a broad-stroke brush when analysing these stocks. It’s staged a 3 bagger advance since the start of the year.  I’ve sold about 1/3 of my position into the party time advance.
  16. Why has Kingold done so well, while retailers like Chow Tai Fook are floundering? Well, nobody really knows how much gold jewellery Indians are getting from China, but it’s certainly not coming from the Chinese retailers. 
  17. Please cvlick here now: http://www.kingoldjewelry.com/i/pdf/2016Q1_KGJI_CP.pdf Kingold is also developing a “jewellery park”, and now has an online store in partnership with Alibaba. While I’m a seller of the stock here and now, I’m an aggressive 10 cent pgen increments buyer to zero, and now I’m ramping that up to 5 cent increments!
  18. It’s important to be as open to a very shallow sell-off in the gold market, as it is to a meltdown, impossibly, to new lows.
  19. You need tactics to handle all scenarios, not just the one that feels good at the time you feel it. If Kingold (or any gold stock you are booking profit on here) skyrocketed higher after a light pullback, and you bought zero before that happened, how would you feel?
  20. Answer: the same way I would feel:  Like an IDIOT.  So, I have tight buy orders around the price I sold, while
  21. Please click here now: http://gracelandjuniors.com/wordpress/wp-content/uploads/2016/05/2016may18j1.png That’s the GDXJ daily chart. That same pattern of declining relative strength against rising price is a concern.
  22. Please click here now: http://gracelandjuniors.com/wordpress/wp-content/uploads/2016/05/2016may18sil1.png That’s a one hour bars chart of the SIL silver stocks fund.
  23. It has the same pattern of sinking relative strength with each new minor trend high.
  24. Gridtime! Whether it is GDXJ, Kingold, or SIL, or any metals item, it’s critical to prepare to be wrong first, and then bet on your analysis with small money after that.  Prepare capital to buy & sell in big price zones that you know are impossible now.  Prepare some to buy near-immediately after selling, in case goes dramatically higher now, impossibly.  This is core position buying area, not a selling area, even if price were to blow out the 2015 lows.  Seasonally, as the June-July period approaches, the price can literally drift like a sailboat on a calm sea, with no waves or wind.  This year, though, the “Brexit” approaches in June, and that could be the catalyst that reinvigorate the gold price rally!  Let’s hit the gridlines now, pgen machine guns blazing.  I’ll see you there!

 

Kirk Jr. on the gold explorers bridge, out! 

Thanks!

           Cheers

           St

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