Thursday Jan 11

I just want to mention that nothing really changed from yesterdays report pertaining to SOX, SPX, DJIA, and WTIC.   Oil did not drop on the inventory report, but it put in an indecision doji type candle, so I’ll just have to continue to watch that sector for a pull back.

NOTE:  I am planning on writing and releasing this on Wednesday night.  I hurt my back recently, and then I caught a head cold on Tuesday,  and I am just not sleeping well.  I am overtired, so I am going to try to just sleep in in the morning. I won’t have time to proof read this after I write it,  so please ignore the typos, thanks!  🙂

USD –  The USD dropped sharply, but then moved back upward. This actually looks like a perfect back test and that’s kind of impressive.

GLD –  GLD Looks like a bull flag, but I really have this chart here to point out the High volume. That makes it look like it wants to break out, but with the USD poised to continue higher, it shouldn’t be that easy.

GOLD – Gold also had fairly high volume on that reversal. I like that it is holding above the 1300 mark.

SILVER – NOTICE THAT SILVER DID NOT BREAK OUT. Silver has gone sideways and looks to be preparing to break out higher.  As you will see, some of the Silver stocks did break out.  That was encouraging, since Silver popped and sold off.  Silver stocks may be leading the way.

GDX – Again GDX is in a normal consolidation after a run out of the lows. Compare the Magenta boxes.  I expect a second leg up soon.  Let me show you something else…

GDX – I want you to look at this GDX WEEKLY chart.  This includes the BEAR MARKET sell off  in Blue. Please notice that moves out of the ICL lasted for 9,10,13 weeks, EVEN IN A BEAR MARKET.  They usually had 2 legs higher, a 1st and second daily cycle.  We are early in this move, but I would like to see this accelerate at some point.

SILVER DIDN’T BREAK OUT, BUT SILVER STOCKS LOOKED GOOD WEDNESDAY

PAAS –  Silver didn’t break out, but many silver stocks did break higher.

CDE –  CDE has moved higher each day this week, as miners sell off.

GPL – GPL really hasn’t pulled back very much after a nice run out of the lows. Ibought it near the 50sma and added recently.

HL  – Hecla may be ready to run too, and this would be a buy.  These Silver stocks are breaking higher without Silver breaking higher. They may be leading the way  (For you USLV fans).  See also EXK, FSM, etc.

Some GOLD STOCKS also seem to be leading the way higher.

BTG – on December 14th I was pointing out that BTG was actually making higher lows in 2017 from May onward. This is a bullish Miner, I was watching for a break out.

BTG–  BTG did a perfect back test and moved higher this week. I would buy this anywhere in this area.

MUX – MUX sold off this week and reversed nicely on Thursday.  Mux has moved about 35% from the lows to Dec highs.  I think that the next run higher will be good too.

So I do like the way some Miners are acting, Silver stocks are even breaking out ahead of Silver. Let’s see what Thursday adds to the set up.  I also have some additional thoughts below.

Enjoy your Thursday trading!

~ALEX

HBM – That was an interesting Pop in volume as it moved higher inside of this handle. HBM remains bullish and this could just continue higher from here.

IPI – I expected a dip and a handle to form, but honestly I wasn’t expecting this to drop to the 50sma. The selling volume isn’t extreme, so this may just tag the 50sma.  Technically, a cup & handles  ‘handle’ really shouldn’t drop more than 1/2 way below the cup, so this needs to be watched.

Just this past weekend, in the weekend report, I had an update on Bitcoin at the end of that report.   You may want to review that if you are trading this area.

BITCOIN – SO here we see BITCOIN, with the lowest drop in December.  As I mentioned in the weekend report,  that could be the ICL, though I was expecting an ICL in January, and had been saying that from the first Bitcoin report.   I mentioned IF THIS WAS THE ICL,  blockchain stocks should start bottoming…

So if I see Blockchain stocks bottoming, that could be the ICL in December.  If the ICL is ahead, then these could drop much further. Let’s take a look…

SRAX – This was in a recent report, and it broke out & dropped back down.  It is still in a bullish set up, it just wasn’t ready yet.  I like this set up.

GROW – Grow also looks ready to go. It has held on support, and is pushing on resistance.  A break out could start the run higher.

MARA #1 –  I posted this in the comments, as it pinched between the 10sma and the 50sma.

MARA #2 – Here I am pointing out that MARA actually ran from $1 to $10 very quickly. This consolidation has brought it back to oversold.  I bought this at the close, but I am early do so. it would be safer to wait for a break out,  I am ‘jumping the gun’ out of the starting gate, with a stop under the 50sma.

MARA #3 – You can also look at this as a bullish descending wedge trying to break out.

SSC–  I thought that SSC was breaking out Wednesday, as volume startd pouring in, but it then dropped into the close.  It COULD drop to the break out,  but a break out higher could also run swiftly.

So these and several others do look as though they may be bottoming ot rady to reverse higher at this point.  That probably wouldn’t happen if the ICL was going to come in January, so this may indicate that the ICL was in Dec,  at those deep sharp sell off lows.