Base Jumping

In the premium reports, we’ve been looking at bullish bases in the Energy and Precious Metals sector lately . Very quickly  they are jumping making some strong moves %-wise.  Explosive gains actually.

For example, this was SGY when I pointed it out.  It ran from $4 to $7 in August/September and then pulled back after hitting resistance at the 50sma, forming an inverse H&S.  When it broke above the 50sma , it was a buy around $6.

SGY  – 3 days later and it is nearing $10.  Thats $4 to $10 in about 1 month. 

EXXI is up 150% in 7 days!

These are obviously getting extended and may be due for a pull back.  That means that it is best to look at other bases that are currently set up, and try to front run some Base Jumping…

WTIC –  Oil broke from the bull flag,  but may pause soon below the 200sma.  I still think Oil can run higher, so I believe that other Energy stocks still have time to break out too.

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  I put together a list of energy stocks still in their bases. I think that they show  potential and I will share a couple from the premium report here.

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SFY – This already Popped and yes, it might still be able to run a lot higher.  I personally wouldn’t buy it unless it drops to the 50sma.  I am just putting it here to show how similar it is to the GDP chart/ Base  (below).  I expect GDP to break higher.

GDP Midday Oct 8 – GDP dropped to the 9 Ema and recovered the 50 sma. It then went on to close higher than shown here, closing  at $0.81.  I like this base so far.

GST – The set up is bullish

AREX – I still own it at the 50sma, and it’s still in its base. I posted this Oct 7 chart in Wednesdays report. It dropped 2 cents on 1/2 the volume on Oct 8.

CENX – Regained the 50sma today.

 KEG –  This is up 100% and may bull flag here above the 50sma. I think it’s still a buy near the 50sma with a stop below the lows of Oct 8.

  For now I am just ‘trading’ these set ups, not making them longer term buy & hold.  You can buy a break above the 50sma and place a stop below that area.  You can buy others that are just below the 50sma now,  and put a stop below recent lows.  I really like the potential for many of these charts.  Why not join us in the premium side for market analysis like you see here? It costs $37.95 / Month.  Thanks for being here.

Have a great weekend.

~ALEX