How About A QUICK GOLD UPDATE

I want to share with you what I am watching in the Gold & Miners arena

This is just for those that may want to try to trade the possible DCL .  It is risky & you must be able to watch your positions at this point, or even stop out if we were to gap down, but I like what I am seeing in various ways.  I will show you how I am watching this…

GOLD INTRADAY –  As mentioned in my report,  GOLD POPPED to $1212 last night and started selling off  (Booo…Hiss Hiss) or is it an opportunity at a low risk area?   I am watching for a test anywhere  between $1294  & $1205ish . Along this blue line.  It needs to be a slow sell off, not those sudden $10 drops . It needs to reverse higher.

(Click all charts to open)

I am watching GDX  ( AND GDXJ). They gapped up this a.m., but those gaps do not need to fill, I am merely mentioning them because they are there and price can glide down there. 

GDX BUY A CLOSE ABOVE the 10sma

GDX 4 hr chart is oversold longer term.  It broke from a wedge, and wants to test it.  I watch the ‘test’.  Is it light? Does it hold as support?  I can buy on the trendline if so.  Can it even fall there, or are buyers holding it up as Gold slowly sold downward?  Lets zoom in…

USE A 15 MIN CHART

GDX 15 minute.  IT got OVERBOUGHT,  that is why we MIGHT get the “test”.     IF the DCL is in, this can just go higher from here .  It also may tag the trend line  later & run higher.  It also can roll down the trend line gently and fill that gap  (but doesnt have to) .

I like the volume in GDX  and GDXJ,  I took a position in NUGT this a.m. and may add if we sell further.  I may also add if we just go sideways, and I will adjust my stops to where I am personally comfortable getting knocked out & trying again.

I have been reviewing the MINERS today and am having a thought about that extended run in Miners actually being 2 small daily cycles.  REALLY?      POSSIBLY.  I will share more about this tomorrow.    I am still very cautious, since Miners have bounced around for weeks, but think about this-     So far they couldn’t really slam GDX  down below the 50sma   (Interesting) .    I look at NEM, ABX, AEM, RGLD and AG and a few others ,  they are looking stronger than weak.  Some near former highs after a month  of and basically down days?  I see interesting signs of strength.  SO I am went long and will see what becomes of it.  AGAIN, I dont want GOLD to trash that trend line, I want it to drift down there if it drops further   (And as I write it has and it turned higher).  

Those inclined to trade Miners , individual Miners or JNUG / NUGT  may be interested in how things are shaping up.   Those cautious or uncertain should remain on the sidelines…at least until tomorrows report.  You’ll have 1 more day to examine the out workings of todays action.

I want to say that I also really like the way  REXX, , BAS, GDP, EXXI , PDS and more are ‘setting up’ & acting today.  The charts are very nice.   I think they may be less risky than Miners at this stage of their set ups.

( and also trading UWTI, UCO, USO  for oil etfs  –  some 2x & 3x …BEWARE)

~ALEX

I had to sell 1/2 of my GDP, just proper money management.  I bought at at $2.50 and earnings may provide another entry, but GDP is set up to break out higher. That is a great looking chart so far.