Caveat Emptor ! This is Latin for "Let the buyer beware."
You see, XME-has gold-and-silver miners, and I am for this group.
But alas, poor Yorek, XME-also has basic metals such as steel-copper-aluminum-zinc.
The basic metals are not doing well. So how can XME-stay strong?
From a technical perspective, XME-is at an 8 year down .
I say "Caveat Emptor", let the buyer beware.
This weekend I have taken the time to publish eight basic metals components of-XME. All are weak.
So, for those of you who like-XME, please take note that the basic metals side of this-ETF may drag-XME down.
One last point. If the basic metals are not doing well, then the real growth in the US economy will likely remain weak.
I would argue that this is why the chart I published for the 10 Year T-Note yield is sinking, and has been for years.
(I hope the can see this).
I have published ten charts in all to make my point for-XME. Eight basic metals stocks were weak.
The gold-miner I published was Hecla-Mining, which was very strong.
In my opinion, the forward progress in XME-is really going to be difficult. Why? I feel that basic metals prices are heading down.
Final thoughts: "Why do you have to 'put your two cents in'... But it's only a 'penny for your thoughts'? Where's that extra penny going to?"
As always, good luck to you. Don.