1-29-2016 follow Up

I wasn’t planning on a Friday report, but Thursdays action in several areas was important enough that I wanted to share a few charts.  Also a reader  ( we shall call him  D.F.), pointed out an area of interest  that I will touch on here too.

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Lets start with the USD.  I saw weakness and have been saying that I expect it to drop. I posted these charts last week.

We have been in Gold & Miners for a while now, but a weak dollar could help Precious Metals and Commodities further.  I will cover this more in the weekend report ,  but for now, what did the Dollar do Thursday? 

USD Jan 28-  Breaking down.  If we can close below these moving averages today again, Cycle count indicates another week or so of downside.

WTIC –  Oil finally broke higher and closed above the 20sma, and with strong volume .  This is the first time that we have seen this in months. The lows may be in, the set up looks bullish.  OIL stocks have surged in bottoming fashion,   so they may be on our radar a bit more in the next couple of weeks.

There are no guarantees, and I do not know how current fundamentals may affect many of the beaten down OIL stocks, but when OIL bottoms many Oil stocks could soar.  Look at UPL for example.

UPL –  This could recover from $2 to $8 in time ?

NATGAS –  I almost gave up on this sideways boredom, but Thursdays  POP back above the 50sma is what we needed. A move higher should take out the current highs. (  UNG, UGAZ ,  etc,  but UGAZ is a 3x etf…only for the experienced  short term trader).

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GOLD –  The drop Thursday was nothing. We even have a short term trend line that wasnt violated yet.

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GOLD 2  –  I removed the trend line to point out the 9 ema & 20sma as a guide. $1102 & $1093 currently.

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GOLD –  Notice the movement around the 9 ema in gold during another past 2nd daily cycle.  Strong move on the 9ema with occasional dips to the 20sma.

SILVER –  This was a deep drop, but it tagged the 50sma & the lower trend line of the triangle.  It then  reversed higher, back outside of the triangle. 

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GDX –  The pause / drop remained above the 50sma.  I would like to see that area continue to act as support. Many Miners acting similarly Thursday.  Notice that all of the moving averages are meeting there.  Holding this area  is Bullish.

 So finally , a reader asked me about Uranium stocks and Platinum stocks.  We have traded Uranium stocks here recently ( last Sept for example).   They do look to be bottoming again, and it seems that many Energy & Metals stocks are bottoming at this time .  This may include SOLAR STOCKS.  Some look interesting  ( FSLR, SOL, SCTY, WNDW, VSLR, JASO etc ) . 

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Lets look at 2 interesting Uranium stocks.  Uranium itself looks “Iffy” as a bottom, but the stocks do look interesting again.

DNN – This was my Sept 16 chart .  Bottoming along the $0.40 area,  What has it done since then?

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DNN WKLY – After popping in Sept from $0.35 to $0.56 ,  it dropped and has now double bottomed or even triple bottomed on a weekly chart, again around $0.40 .   The set up looks good longer term and it may break out from here.

URRE – This looks like a possible double bottom on a daily chart.  I like the volume on the first surge higher. I do not like the volume, because 232,000 shares traded on a 35 cents / share is only $81,000 traded per day.  Easy to push higher,   but hard to get out in a sell off.

That said,  in December URRE doubled in 5 days !   In January it also got cut in half in 2 weeks,  so proceed with caution  and USE STOPS if you enter here. The MACD looks bullish.

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SWC is a platinum stock .  I am AMAZED at Platinum being near $800 with Gold above $1100, because I traded both in the 2000’s Precious Metals run higher. Platinum was always the premium metal.  I wonder if that role will re emerge going forward? If so, either Gold drops or Platinum races higher. 

SWC –  It is leaving the current lows, but the chart indicates a pull back soon if you ask me.  We need to get a large burst of volume to push it higher.  I’d look for ( hopefully) a higher low on a pull back.    SWC traded  from $10 to $19 in 2013-2014. Now it found itself  at $5 in January.  It may have a nice recovery when the bottom in Platinum is in place.

SO I just wanted to post the updated info on WTIC, NATGAS, and Precious Metals.  Not much changed in the general markets from yesterdays report.  As I mentioned,  it is an earnings period with a lot of surprises.  NFLX & AAPL got ugly.  AMZN was down $100 from yesterdays highs in after hours!  EBAY & EXTR  ( Extreme networks) had great looking charts , but got slammed.   UA popped 22% on huge volume and FB popped 17% on strong volume , breaking to new highs –  so it is quite a mixed bag!    It is a tricky time in the general markets , though I’ve been expecting a bounce.   Hard to pick a “BUY” opportunity on this Friday, unless maybe its NATGAS, OIL, & MINERS on a pullback.  ANFI  is pulling back after Popping on Earnings. As noted in last weeks reports, It never sold off when the markets dropped.

We only have Friday left for trading  in this week and Month. THE MONTHLY CHARTS are quite interesting too!  We’ll discuss more in the weekend report, have a great day and weekend and thanks for being here at Chartfreak!

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~ALEX