Friday November 10th
Well, I’m just going to say that I did a few things that I usually recommend not doing yesterday and my account went from up rather nicely at the open, to red on the close. I’ll briefly explain, but if you don’t care to read of my mistakes, you can just skip this part. 🙂
 I bought small starter positions in MARA and RIOT pre-market, with bitcoin breaking out to new highs from that ‘running correction’ and with both of them posting nice earnings reports. They started to push higher by 4% and knowing that they can put in 16-20% gainer days on a good day, I bought them when they were up but fluxuating a bit in pre-market. I also thought that I could add if bitcoin continued higher and they looked good intraday. After the open MARA shot up 20% and RIOT was up 14%, that gave me good gains, so I wanted to add on an intraday dip. MARA dipped from $10.48 to a support at $9.75 and I added. This was the chart I used…
 I added, it bounced and dropped because Bitcoin pulled back from that breakout. They pulled back and all of that green went to red as both MARA and RIOT pulled back to stop me out. Along with that, KGC & MUX were also shooting higher after they released a good report, so I added GDXU when it was up 3% and it rallied to almost 7% . I added to that position when it was up 5% so things were looking great, but it also pulled back and stopped me out. I have been sick this week, so I went to lie down and fell asleep for the rest of the day, going from very green to red in just the morning. I was a victim of the this choppiness & indecisive markets too, and I just wanted to share that with you. It is frustrating, and even thought they were small losses, the hard part was that they were big gains at the open and through the first hour. At least KGC and MUX remained nicely green, so they helped ease the pain. Lets go to the charts and see what they look like…
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I was actually ready for a pullback in the General Markets, because we had 8 straight days higher and we were at resistance with the overhead trendline. THE SPX did make a new high on day 9, but as you can see, these markets sold off midday. I think that this can dip lower too, we’ll just have to wait and see.
This is really just a normal NASDAQ dip at resistance and it can go lower. Since we have an ICL in place, this will be a buy the dip set up when it stabilizes. It could just do a crawl along the top of the 50sma, or it could pull back 50%, so I want to be patient and just be ready to enter a trade when the markets are ready to resume. Let me show you a couple of ideas…
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 NASDAQ This idea would be great, because it would just be a crawl along the 50sma showing strength to break out. It would be easy to buy this one in a couple of days.
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NASDAQ this is an a-b-c dip that would be consolidating the recent strong rally. I almost expect this as less likely, because we could be seeing the start of a year end 2023 rally.
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AS A REMINDER, THIS WAS DAY 54 AND YESTERDAY I SAID:
This is a failure in Oil, so now it may only run up to the 50sma and roll over again.
Notice what happens if f I ‘Copy & Paste’ the last run from day 31 to 41. We get a run to the 50sma and then it rolls over like this.  That was a choppy mess, so for that reason I am not going to bother trading Oil at this time.
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WTIC -Oils sell off paused and we are due for a dcl since we were at day 54, but I now expect a bounce, some choppiness, and another drop lower, since Oil has a failed daily cycle.
THE USD is pushing higher out of the lows, but this is also a failed daily cycle, so it should bounce here and then roll over.
GOLD popped higher and on the stockcharts charts it tagged the 200sma (on the spot gold chart, it didn’t yet). Day 24 seems to early for a dcl, but cycles aside, this is just a normal dip and back test of a breakout area, so it can push higher from here. Last Friday we saw a rally in Miners, we’ll see if that repeats.
GOLD – If we want to speculate about cycles, we could draw a bounce and one more drop to the 50sma to give us a little more ‘time’.
So I wanted to show you ‘spot Gold’ on day 24, because it does NOT show us reaching the moving averages yet. I think that this is because it trades 24 hrs a day during the week and travels a bit differently. As you can see though, SPOT gold has not done a back test so and little more ‘time’ might give us a dcl in that area.
SILVER actually pushed higher yesterday.
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GDX had no big change. I bought GDXU as a day trade and it rallied up 6-7%, but gave it back and stopped me out. I caught that first run up that way and I plan on catching the 2nd one up too, but I took a papercut yesterday.
KGC rallied strongly on earnings and it was up 6% in the first hr. It closed up only 3% after the markets popped and dropped though. KGC still looks good above the moving averages though.
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So the choppiness continued in precious metals, and we are still waiting for that 2nd run higher with the Miners. We also need to wait and see when the general markets will be ready to move higher again. Today is a holiday in the US, but the stock market is open, so we may see some upward movement with some traders away starting their 3 day weekend. I’ll discuss Bitcoin below too. Enjoy your Friday trading.
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~ALEX
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BITCOIN popped and dropped , so there is the possibility that this is a fake out and it can pull back, but what I also noticed was…
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BITCOIN did have a similar candle on day 43 (pop & drop), but it continued higher, so even though MARA and RIOT popped and dropped, they may try to follow Bitcoin this time if it can continue to stretch higher. This is a very tough area to trade lately with all of the chop in Crypto stocks and their inability to keep up with Bitcoin, so we’ll see if we do get a dcl dip here and then they follow or not.
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MARA – I just wanted to share here what I posted yesterday premarket. MARAs earnings looked pretty stellar. Read below. $64 Million compared to a loss of $72 Million. This is why I started a position when it was up 7% pre-market. I knew that it should be up 20% (& It did run up 20% before reversing). It was now up 10% by the open…
MARA – There it is though, the POP to up 20%plus, and then the drop. It closed up 8%, but I had added higher and raised my stop, so that was not fun. I got stopped out.
RIOT -This is what I wrote about RIOT. I had a starter position expecting this to rally strongly too.
RIOT rallied up over 14% and then also pulled back. It is frustrating that these won’t try to catch up to Bitcoin, which is at new 2023 highs. I bought it, added, made big gains early in the day, and then got stopped out. Oh well, I’ll continue to monitor the sector and either do a ‘BUY & HOLD’ at the next dcl or wait until these start trending and buy the dips. WE DO HAVE A SERIES OF HIGHER LOWS, so these may be getting ready to trend.
