Friday, April 12, 2013

Tapping Out

Back on Monday, I asked the question on Twitter "why is Eric Sprott unloading PSLV shares?"  I mean, the guy and his team advertise as perma-bulls on KWN.  Why is Sprott Selling PSLV?  Now I guess we know why...

I tapped out on some old positions (from back in October 2012) today, for big losses.  The move below 1523 meant the prior low on the weekly chart established in December 2011 had been violated.  For me, that was time to eat my losses.  And they were big.  I closed GDX and GDXJ positions from then, a First Majestic position from November just after the election, and AGQ and UGL positions from February.  When all was said and done, 25% of my account was toast.  Not an easy pill to swallow, but in the case of this washout, the momentum was too much for this Muppet.  

What do I still have?  Only my Canadian account remains intact, which includes Tinka, Sunward, First Majestic (FR--my oldest position from March 2012 that I bought for what at the time was a screaming deal at $16).  In my long term account, I still have TGLDX (Toqueville Gold Fund) and some bonds (DLTNX).  Toqueville seems to have repositioned some of their portfolio with shorts, as I've seen them up on down days.  Bonds are doing fine.

Tinka is in jeopardy of getting sold for a loss here, too, unfortunately.  I was looking to sell 50% today if the close looked like it would be below .94--it closed at .96.  I will keep the same strategy Monday, and will exit the entire position should it close below the last cycle low at .83.  These would represent 16% and 26% losses on the position, respectively. 

Should that happen, this blog will be renamed "The Drinking Muppet," and content will be adjusted accordingly.

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