Note to subscribers:
Pullbacks happen and we may be seeing the start of one. More in tomorrows report, but…
Getting close to the close, I just wanted to point out what looks like a bearish engulfing in XLE & OIH, and a bullish engulfing in ERY (Bear energy 3x).
How big of a pullback may be coming I cannot tell, but some may want to lighten up a little in Energy? It has been a nice run in OIL , we should get another entry.
ALSO GDX GDXJ have bearish engulfing candles so far (WATCH THE CLOSE). Volume is light and GDX is above the 50sma, so we may only go there, but this is just a heads up for Traders, we may be starting to dip.
EDIT: GDX is oversold on the 5 minute/15 minute etc and is rising into the close, so it is still unclear if this will engulf todays candle at the close.
I/m not recommending JDST or DUST, but you can hedge with that or trade it if its in your skill level.
Best wishes
Little Changes 
Healthy Pullbacks
Scroll to top
Thanks for the Heads Up Alex.
Could not agree with you more.
The bummer is that I wrote that and posted it at 3:45 and the alert (I get them too) didnt come through until 3:52. I didnt realize it until the email alert triggered my phone. 🙁
I’m not expecting a TOP here in Energy, just a pullback , profit taking. Maybe a buying opportunity.
I am looking into GDX tonight for tomorrows report too. Interesting stuff there. It isnt rally bearish in many ways , though GOLD isnt bullish. Odd.
Take care Ken,
Good night all
It’s tricky trying to trade all the wiggles. Although the water is still a bit muddy for gold/miners, for sure, so a conservative approach probably serves well here.
I agree, I’d like to just say….BUY REXX, LGCY, BAS and hold until Dec 2015 …I think that may work out based on January to May…but the wiggles cause people to feel they are giving back their gains.
Sometimes in those longer term trades, Like BAS Jan to Now… they’re just borrowing the gains until the next run higher. : )
It sure is tough to trade each wiggle, but depends on the exact instrument. For some miners, small position, might be able to hold some. If you have NUGT or JNUG, I want to get out if someone so much as sneezes.
Appreciate the quick note Alex. It always helps me make decisions with your input. 🙂
Thx, like I mentioned, I dont think Energy is “Done” here, just a pullback looks possible with a bearish engulfing candle. Possibly another buying opportunity soon.
There was negative divergence on GDX in the morning – http://screencast.com/t/jZ1gQu9HZYN
Hey Todd, I do the same thing (As a trader) . I noticed that you use the 15 minute chart. WHen I’m using 15, 30, even 60 minute charts, you do get some good trades with those divergences.
It also always keeps me from BUYING a run higher if I see divergence. I wait until a drop or sideways move comes first and re-asses
I have noticed miners usually always play out when you see divergences. You can get some good trades just trading them
And Silver alex? still ok -i have exk swing position
I also have EXK. Pending Alex’s analysis in the morning, I may dump very quickly tomorrow if it is down again.
I looked at 5 month chart of WTIC and overlaid BAS onto it. High correlation. I’m going to see if a pullback first on oil before selling energy stocks.
I saw a couple of folk talking about NBG yesterday. Down heavily in Athens yesterday. Up strongly today: 8%.
Excellent. I bought yesterday after the drop.
http://finance.yahoo.com/echarts?s=ETE.AT+Interactive#{%22showSma%22:true,%22smaColors%22:%22#cc0000,#00ff00%22,%22smaPeriods%22:%2250,100%22,%22smaWidths%22:%221,1%22,%22smaGhosting%22:%220,0%22,%22showMacd%22:true,%22showRsi%22:true,%22range%22:%22ytd%22}
Now 9%
thanks for the heads up. I was wondering why some gave back at the end of the day Yesterday. I sold UGAZ Yesterday. I stopped out on NUGT. I may lighten up on the rest. Things look okay this morning.