Nervous? Heres a different perspective
Mid day update / Miners selling off writing at 12:05 p.m.
When I start seeing a sell off in Miners after I feel that I’ve done all my homework , I dont panic – I just need to look and see what might be happening. What (if anything) should limit the sell off? Is it normal? is it ugly or extreme? So lets review a couple of quick charts that I threw together and see where we might be . First off, GOLD is not selling off , but are Miners leading? What do I look for with GOLD?
GOLD (Click to enlarge)
So Gold is holding up, what about Miners? Are they shaking some out, or are they about to collapse?…
I zoom in on GDX & GDXJ -So please click these to enlarge and see what I look at in times like this.
GDXJ 30 minute (keeping in mind GDXJ still in a down channel)
They are trending upward in smaller time frames, however, so lets zoom in and look for recent support.
GDXJ hrly close up – A channel up , but a gap below & “Possible” support on the lower trend line
GDXJ – I am not an Elliott Wave expert, but I look for 1,2,3,4,5 and a-b-c type moves all the time. (My first #1 should be up higher, above the #2 )
The drop looks normal (so far)
GDX There is support below near $17.75, but theres also a GAP lower than that.
I’m sorry, but that’s all I can show you at this time. By the time I grab charts and write a post…its another 1/2 hr later and these may become invalid or even broken. I’m posting this to show you that This is how I watch “Sell offs” , and they often happen mid day to shake people out of their positions ( especially those that buy late after the run up starts). I try to never buy at the top of a channel in smaller time frames. I like to buy near lows to avoid shake outs, thats why I posted pre-mkt Friday. If you got in then, you should still have profit.
Also keep in mind the ENERGY stocks that I had written about when XLE reversed off of its lows. While some shot up & formed higher lows on a pullback (And like coal stocks recently)…Many of them did double bottoms (See EXXI, GDP, etc ) Miners could do that too, right? That means another opportunity to get in lower, but right now…I think this is a shake out .
Staying Frosty, but hanging on and buying dips
~ALEX
nice..tx 4 update
So far , the selling is within the recent up channels – but staying alert to any break down is always prudent. Thx for checking in ( and I saw Ur re-post, thanks!)
nice..tx 4 update
So far , the selling is within the recent up channels – but staying alert to any break down is always prudent. Thx for checking in ( and I saw Ur re-post, thanks!)
Gold hit that rising trend line like a pro. Still can see any use in going long until 1180 is dealt with… short on the other hand works quite frequently lately. Thanx for the great post
I agree , for many that 1180 area is important (And for me it is too on a wkly chart). I would like to see it broken by Friday .
Gold hit that rising trend line like a pro. Still can see any use in going long until 1180 is dealt with… short on the other hand works quite frequently lately. Thanx for the great post
I agree , for many that 1180 area is important (And for me it is too on a wkly chart). I would like to see it broken by Friday .
Appreciate the updates. Nice recovery into the afternoon with GLD still lagging. I agree that above 1180 on spot is key; that is needed to power the next move, but if it does there could be some real room to run at that point! Looks like GDX and GDXJ both closed above 5 & 10 SMA on daily! Last time that happened was 16 Oct at the consolidation before the waterfall. Last before that was August.
Ok, I think you’ve convinced on energy. Will look for entry tomorrow!
Appreciate the updates. Nice recovery into the afternoon with GLD still lagging. I agree that above 1180 on spot is key; that is needed to power the next move, but if it does there could be some real room to run at that point! Looks like GDX and GDXJ both closed above 5 & 10 SMA on daily! Last time that happened was 16 Oct at the consolidation before the waterfall. Last before that was August.
Ok, I think you’ve convinced on energy. Will look for entry tomorrow!
THanks Alex. Looks like NUGT started drifting up at the end of the trading session, and is further up this morning. Gold not really moving? Looks like NUGT busted out of a wedge and Gold is getting ready to! Hard to know what the next day will hold. I try to make my money during the day and move out at the end of the day. I would love to buy and hold but don’t want to give back.
Any thoughts on Uranium?
THanks Alex. Looks like NUGT started drifting up at the end of the trading session, and is further up this morning. Gold not really moving? Looks like NUGT busted out of a wedge and Gold is getting ready to! Hard to know what the next day will hold. I try to make my money during the day and move out at the end of the day. I would love to buy and hold but don’t want to give back.
Any thoughts on Uranium?
Alex, do we have a BEAR flag forming on the 5min chart for XAUUSD?
Alex, do we have a BEAR flag forming on the 5min chart for XAUUSD?