It’s Working

Jobs Report, Flying Dollar, Diving Gold. Please dont forget Energy 🙂

I dont always do a  Friday report, but today there has been a lot of movement.  The weekend report will discuss more details, but how about a quick review .  It is important to let the dust settle after events like this. The first hour of trading was all over the place. 

This is just a quick update. Not a lot of new charts, but I’ll use older ones to show what we looked for and where we are, and a few new charts too.

SPX, DOW, NASDAQ  have been pulling back a little.  I expected this. It doesnt have to be a huge drop, as shown in this past charts.

Obviously the dollar chart is important on Friday.  I used this chart to show what we were looking for. Today is Friday, the jobs report was released and the Dollar surged to 99.21 as I write.    That indicates that the break out closes as legit.

GOLD –  With Gold selling off rapidly and Miners holding up above the 50sma, it was a bit deceiving, but after stepping back, I felt that we were looking at a decline into an ICL in Gold. They usually crescendo into a steep drop.  We certainly see that now.

I used this chart to point out the $1072.30  (July lows),  so far we are dropping rapidly toward the July lows. That is a key area, because a break of those lows means that we will not get a higher low/ higher high scenario. Golds low today is currently at $1084.50. 

My Advice:   Dont try to catch THE LOWS,  it can cut you up-  especially since we do not know what the lows will produce.  A higher low ( ICL) or a break down of summer ICL.   I will discuss  this in the weekend report.

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OIL is dropping down, but has not taken out the dcl.  It is below the 50sma  (Always concerning to me) , but some of these Energy Stocks are looking bullish, so I still own them as long as they remain above the 50sma.

I have been focused on Energy trades and listed many Energy Stocks. I mentioned that with earnings,  you want to keep an eye on those reports, and now that many are out of the way, there have been some great moves. (CJES took a hit after earnings, but many others moved higher).

Have you seen some of these Energy Companies charts after their  earnings release?   I mentioned in the comments section yesterday that  WPX & WTI released earnings and had a bullish reaction.  Did you see charts of BCEI today?  ERF? BBG? SGY? CRK,  NOG? VLO? MRO?

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  BCEI –  Very strong move , continuation after their earnings report came out.  Breaking out from a 3-4 month base. This could just run higher with minimal resistance, but I’d wait for a pullback to enter it. 

  WPX – Earnings released yesterday.  This may be about to break out from a 3 – 4 month base

  ERF  just passed its 50sma at $5.40 this a.m. on a good earnings report. Mid point in a 3-4 month base. Volume is strong today, so this may be following what the other 2 above are doing. 

Again, we have SGY, CRK, TNP, BBG, WTI, WPX, NOG, AREX,  etc all looking healthy with earnings behind them .  BAS  is moving higher, just trying to get above the 50sma too, but so far volume is light.   The charts look good , but if oil fails , could they?   Yes-  ABX moved higher on its earnings  and I entered a trade , now it  has followed Gold down and I sold it yesterday with a small loss. So we must watch oil.

The President is about to speak about the Keystone Pipeline  ( They believe he is rejecting the project).  Will that cut affect Jobs going forward?  Will that boost Oil & Gas  ( less production)?  We’ll have to wait and see, I am watching OIL today with this speech. 

Have a good weekend all!

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~ALEX