Wednesday June 20th

 

NASDAQ – As the markets try to pull back, it looks like buyers are stepping in and propping it up a bit.  We have seen 4 reversals in a row during the selling in NASDAQ.

 

Some stocks are not stopping out their holders, and maybe you are still in them.    Stocks like MU, LSI, AMD, & SQ  keep dropping and reversing higher too, while others are pulling back a bit .  The ones pulling back could be BUY OPPORTUNITY FORMING, the ones acting bullishly have been BUY & HOLD & RAISE YOUR STOPS.

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SQ , LSI, AMD, etc have been examples of BUY & Raise your stops. Just ride them. I usually look for a moving average that it respects and place a mental stop somewhere under that point  ( I also take some profit on the run, in case we get a BUG GAP DOWN, I wont lose my gains).

 

AMD is vertical and I mentioned in the past that if it ever breaks from the $10 – $15 consolidation,  it would run straight to the 20’s if the markets remain bullish. I wish that this would back test the break out, but I think it may just keep running.  AMD is just another example of how easy it is to look in hindsight, but how hard it is to ride that bull.

 

MU- some companies like MU are consolidating.  More of a cup & handle

 

SPX – I pointed out a bearish rising wedge, and they usually break down, but we have a reversal at the 20sma here too. It may run up to the top of the wedge 1 more time, and if it breaks out higher, we could have a runaway move starting, similar to last year. I say this because…

IWM – Some sectors are not even pulling back yet. The Russel 2000 has simply moved sideways to the 20 & then started higher again.

 

WTIC – Oils Monday reversal dropped on Tuesday, but Wednesday is Oil inventory, so we’ll see which way this really wants to go.

I mentioned yesterday that the orange down trend line wasn’t broken after day 41, so it may not have been a dcl.   So far, this is really a break down below the blue uptrend line, and a back test. Usually these drop further, but we are getting late in the daily cycle if this was day 49.

 

USD – The USD looks very strong and went higher on Tuesday, but divergence is showing up.  Also, I do expect this to form as a L.T. Daily cycle, so we’ll see how much higher the Dollar can move.  It SHOULD top by day 8 or so,  The UUP even looks weaker.

If the USD is due to top and then drop into a DCL / ICL, this could be what GOLD needs to find its ICL.

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GOLD  – At this point,  GOLD still resembles MAYs drop with a plunge one day and a sideways crawl following that. Yesterday I said that I would like to see GOLD DROP to a new low to lower the parameters for a swing low or DCL…

 

 

GOLD –  For an  UNCONFIRMED Swing low, Gold needs to move above 1286.80.

 

LET ME CLARIFY: There may have been a slight misunderstanding in yesterdays report, when I posted this chart.  I was simply showing that in June of 2017, every swing low was NOT THE ICL, so jumping in & buying every swing low was frustrating when it would drop again in days.  IT IS BEST TO WAIT FOR A CONFIRMED SWING LOW IS WHAT I WAS SAYING.   SO..

GOLD  – Let me show you this visual.  Past ICLs were simply STOP RUNS. We are in a renewed Bull Market, making higher lows, and a stop run was just a drop below prior lows and then a rally started shortly after.   LOOK AT THE 2 RALLIES AFTER THE STOP RUN.  Straight up day after day.  THIS IS WHY I AM FOCUSING ON PRECIOUS METALS.  WE ARE CLOSE TO AN ICL, even if we get a bit more downside.

 

 

SILVER  – Silver is now near the lower consolidation line.

GDX – GDX dropped, but is still rather sideways. Miners have held up better than they have in the past. I think Miners are waiting for GOLD.  Read the chart.

XAU  –  When I look at GDX, GDXJ, HUI, and XAU, they are all acting a bit differently and as you can see, GOLD is on day 20 and the XAU looks to be on day 34. Odd.  They still may bottom at the same time & sync back up.

 

And with Gold pulling back into the ICL, this is an encouraging sign

 

AUY – I Posted this in the morning.  AUY was running higher & Volume was good in the first hour. I actually mentioned buying AUY last week & still own it.

 

AUY – It closed with strong volume and remained green despite Golds selling.

 

GORO – GORO also broke higher again.   This does NOT look like a weak Miner while GOLD heads for an ICL.  Very encouraging.

AKG – What a reversal off of the 200sma. That looked exceptional on a down day, right?

 

AKG  – And when I stepped back and looked at the long term chart,  that is a nice base forming since the steep sell off into Decembers ICL.  At $1 yesterday, can’t you picture this doubling & tripling after an ICL.  That would only be $2 & $3.

So many Miners are still holding up nicely, some even running higher as Gold is deep in its timing for an ICL.  That is quite unusual, unless we are seeing Bullish conditions and not bearish.

 

KL-  And if you bought KL at the February sell off, you almost doubled your money already, since it dips down occasionally and continues higher.  This also does NOT look like a weak Miner while GOLD heads for an ICL.  Very encouraging.

 

WE ARE CLOSE TO AN ICL IN GOLD, AND THE MINERS HAVE BEEN SETTING UP IN BULLISH MANNER, AND  NOT LIKE THEY ARE IN A BEAR MARKET.  YET PEOPLE STILL HATE MINERS- THAT TOO IS BULLISH. 🙂

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~ALEX

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SEVERAL MJ STOCKS STARTED REVERSING AND LOOKING BULLISH AGAIN AFTER A NORMAL PULL BACK, SO I POSTED SOME CHARTS WITHIN THE FIRST HOUR TO POINT THAT OUT.  LET’S TAKE A LOOK…

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ACBFF – This can really run when it gets going, I have owned it for a while.  Let’s zoom in…

 

ACBFF DAILY– Earnings growth in this company was up 1,154% Year over Year. It is breaking out higher, I already bought it when it was under the 50sma in a bullish wedge.  It was hard to hold last week, but I think it is ready to run.  Let me show you a brief portion of their earnings report.

 

YEAR OVER YEAR REVENUE WAS UP 1,154%

AURORA CANNABIS INC. (ACBFF) (ACB.TO) REPORT OVERVIEW

Aurora Cannabis’ Recent Financial Performance

For
the three months ended December 31st, 2017 vs December 31st, 2016,
Aurora Cannabis reported revenue of $9.21MM vs $2.91MM (up 216.27%) and
basic earnings per share $0.02 vs -$0.01. For the twelve months ended
June 30th, 2017 vs June 30th, 2016, Aurora Cannabis reported revenue of
$13.62MM vs $1.09MM (up 1,154.04%) and basic earnings per share -$0.04
vs -$0.03. Aurora Cannabis is expected to report earnings on September
25th, 2018. The report will be for the fiscal period ending June 30th,
2018.

 

CGC – Now listed on NYSE – I posted this at 10:30 as a bullish wedge. This could be bought here os as it breaks out, and…

 

CGC –  It is breaking out on High volume. This could run to $38 – $40, and since it is now listed on the NYSE, Big buyers and funds can buy it, adding fuel to the fire.

 

EARNINGS FOR AN MJ COMPANY CALLED CRONOS:

 

CRONOS GROUP INC. (CRON) REPORT OVERVIEW

Cronos Group’s Recent Financial Performance

For
the three months ended March 31st, 2018 vs March 31st, 2017, Cronos
Group reported revenue of $2.33MM vs $0.39MM (up 500.23%) and basic
earnings per share -$0.01 vs -$0.01. For the twelve months ended
December 31st, 2017 vs December 31st, 2016, Cronos Group reported
revenue of $3.15MM vs $0.42MM (up 652.43%) and basic earnings per share
$0.02 vs -$0.02. Cronos Group is expected to report earnings on August
27th, 2018. The report will be for the fiscal period ending June 30th,
2018. The estimated EPS forecast for the next fiscal year is $0.14 and
is expected to report on April 29th, 2019.

 

CRON – Reversal at the trend line & 50sma support, so this is a  low risk entry using a reasonable stop . CRON is also listed on the NASDAQ now, and that may also encourage fund buying and Bigger Buyers.  This consolidation is constructive, and I also own this.

 

CRON – I showed this view in the past, the potential is very bullish, and it is weekly oversold.

 

POTN – This is a penny stock for traders not minding that, maybe a trade short term or potential to grow. That was a very bullish run in January, and it stopped and held the 200sma, so it is acting bullishly.  Now it broke above the 50sma and is reversing higher off of it.  Though it is a penny stock, it is acting correctly.

 

ABCCF – I noticed this immediately yesterday and posted this at 9:42 a.m.  A reversal off of the lows of this base, this should be ready to move higher too.  It closed at $1.08 & looks good as a buy since it is at lows.