February 19th – The Markets Path
SPX – After gapping down, the markets came back. This was day 11. AMD, MSFT, TSLA, TWTR, etc still look good to me…
AMD – AMD continued higher. When the markets gapped lower at the open on Monday, AMD barely flinched and closed up. I have a target of $62 ish or more.
TWTR – TWTR also continued higher and your stop goes under that 200sma now ( earnings have been released).
WTIC – Oil had that weekly swing low and started a new daily cycle. Oil stocks have been less bullish, with XOP hitting a new low again, but I do see a reversal there now, so…
XOP ( GUSH) – We may see a bullish descending wedge and what will be a shake out after it recovers. It is higher risk to try to catch a low , but Monday was a reversal in this wedge. The MACD finally has the kind of low that I have been saying I would look for- it would not be a V-Bottom, but divergence at a low. A break above the blue line could be bought with a stop, but this is ONLY for active traders in front of the screen. Position size controls risk.
UUP ( for the USD) – The USD shot up, and I have been saying that this move by the USD higher has NOT Hindered Gold.
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GOLD – In my weekend report, I thought that Gold could break down & drop 1 more time, but Gold broke out. THAT IS A BUY.
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GOLD – Gold broke out from that triangle and this time Miners took off higher with it. Volume was good and a triangle break is Bullish. Let’s quickly discuss that…
GOLD – I was asked by a few, “How can I buy when we are on day 20 something in cycles?” . I have said many many times, in my analysis, I use cycles as a guide, but NOT as my main trading method at all times. Why? I have found that triangles distort cycle count, they are bullish continuation patterns if they break higher. EVEN IF I USED CYCLES, this can rip higher day after day to day 35 or so as shown, and then drop into a day 40 daily cycle, right? So you buy the break out & a stop goes under the apex area
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SILVER – I have been saying that this could be an inverse H&S and it broke out. NOT ONLY THAT, but I have mentioned that…
Just like when GOLD bottomed in early May 2019, and Silver bottomed in late May 2019, we have seen Silver bottom later that Gold again. Significant? Possibly because…
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SILVER – We are really only on day 12 of daily cycle 2 for Silver right? And in recent reports I mentioned that SILV, USAS, HL, PAAS, and a few other Silver stocks were starting to improve after being beaten down. It looked like GOLD STOCKS were leading this time ( EQX, NEM, AUY, ELYGF, GOLD, etc at or near the highs). Now Silver stocks look good with Silver looking like an inverse H&S on day 12? THAT could be very bullish for silver stocks. I’ll discuss that below…
SLV – I posted this after the 1st hr of trading, it is Bullish as it breaks out higher. It Closed above $17 with 18 Million volume
GDX REMINDER FROM FEB 5th – This was an idea that I mentioned we could also be aware of in the recent choppiness. GDX started to climb higher and GDXJ began to find support day after day at the 50sma. I said that day 14 could simply be a 1/2 cycle low & this could break out…
GDX REMINDER FEB 5 – I also drew GDX this way. The choppiness was concerning many people, so I was trying to show the Bullish possibilities. I still had Miners in my portfolio, but got stopped out of leverage using a trend line from ICL to DCL. I said that I expected more choppiness, but a break out would be a gift. We just got both from the 5th to now.
GDX – We got the choppiness at the lows and it is now breaking higher with volume. The RSI moved above 50% and this is still OVERSOLD, so…
GDX – Even if it is day 23 of a daily cycle, what if this ran higher for 10 days (day 33) and then pulled back? I will show you more reasons to buy…
GDX / GLD Midday – We have Miners leading & back tested the trend line break. Also…
GDXJ – I posted this in the first 1/2 hr of trading. GDXJ had more of a triangle than GDX, and it looked to be breaking out…
GDXJ – This was 1 hr after the open. In my reports I had been showing that GDXJ repeatedly found support along the 50sma. THAT could be a buy point with a tight stop if a trader wanted to ( low risk with a tight stop). The break out is where you could add (or start) a position in leverage.
GDXJ – This was Midday, I was asked if I would add leverage. This is a buy, it is a break out from a triangle.
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GDXJ – By the close we had solid volume and a MACD CROSS. THIS IS A BUY. Even if it pulls back to back test the magenta line, a reversal off of that line is a buy ( I wouldn’t wait for that).
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Most already had positions in this sector, even though I said that I got stopped out of leverage. We have already been discussing various Miners acting bullishly, I pointed out SBGL as a buy that I took last week, and I have discussed EQX, AUY, ELYGF, Barrick (GOLD), PAAS, HL, SILV, etc etc – so owning Miners was still the right thing to do despite this sideways choppy consolidation. Unfortunately some earnings reports did hurt the charts of a few individual Miners. AEM was hit and and SVM took a dive due to mines in China. A basket has always been my advise, and I wasn’t recommending AEM at this point in my reports anyway.
Now many of the Miners & even he ETFs are a buy, but there are ‘earnings reports’ due for some Miners, SO BE MINDFUL OF THAT. You may want to look up when the earnings are due, if you own individual miners. Enjoy your Wednesday Trading!
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~ALEX
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Look again at this opening picture of a Bullish chart. DID YOU NOTICE THE CHOPPY MIDPOINT CONSOLIDATION before the launch higher? That is what we have been seeing, so…
Stack of coins in shopping cart on graphical chart background
BTG & AUY look to have choppy mid point consolidations that are breaking higher like that chart above.
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SBGL– THIS WAS A BUY LAST WEEK, I SAID THAT I BOUGHT THIS ONE.
SBGL – We got the follow through
SBGL continues to follow through. We bought & made great gains on this on the initial run higher, it is a leader as a Platinum Miner and is taking off again.
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BACK IN NOVEMBER I POSTED THIS: We owned SBGL from the May 2019 lows. I pointed out the upward potential of SBGL here as a ‘BUY & HOLD’ for those that are interested long term. This could get to $18+ again. We made good gains on the move out of this base, and it continued higher, now near $13.
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LGDTF – I added to LGDTF yesterday and this was posted after a little more than an hour of trading. Volume looked good, this reminds me of ELYGF & EQX. I cannot find an earnings due date though.
LGDTF – This was it with 1 more hr of trading left, and I tweeted this out. The volume is spiking. I also noted it as a Buy with the green triangle in December.
PAAS – A silver stock that got choppy now looks ready to go again. Midday showed it as having a full days volume. PAAS is a buy. The MACD is crossing higher.
CDE #1 – CAL pointed out this trend line break almost 2 weeks ago, and it has held up on the 150 sma since then. If Silver is an inverse H&S about to break out & run, CDE could be about to recover & run.
CDE #2 – The bigger picture shows that Silver chopped at resistance near $5 in August/September, then it broke out and hit another resistance around $7.50 – $8.50. It now dropped to ‘resistance turned support’ at that $5.50 area, and may now be ready to move higher again.
AXU – AXU popped 10 %, hit the 50sma, and then sold off a bit into the close, closing up 6% . You could buy it here or after it gets above the 50sma, but if Silver is going to run, this high volume sign of strength would be enough to get me to buy it right here.
DRD – DRD got VERY Choppy, but it may just be a diamond consolidation as it now breaks higher with big volume again.
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THIS IS THE PROGRESS OF A MINER ( 3 CHARTS)…
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Recently I pointed out a possible bull flag on ELYGF, and then it broke down to the 20sma. It then reversed so I posted this set up on Feb 13. It looked ready to go again, up 11% . I had a big position that I had sold, so I started a small position in case this took off…
ELYGF – The next day it found follow through with 6% and increasing volume. That consolidation could be a midpoint consolidation and ELYGF has become a real leader. I should have added with this conviction, but I didn’t …
ELYGF – Boom, up another 12%, that consolidation was just a midpoint pause and this can continue higher. I own a small position 🙁 Don’t underestimate these juniors ( so I put my gains from ELYGF on to LGDTF).
EQX – This was pointed out as a buy recently too. Th good follow through can build confidence in yesterdays GDXJ break out. This reminds me of ELYGF also. I have an $11 target ( roughly). LGDTF may do this too.
** GPL – This is a low risk buy right now. It dropped right to the 50sma & reversed yesterday with oversold conditions. This small reversal was actually 11% and it can run much higher. FEB 26th is what I found as the unconfirmed earnings release.
** HL is a low risk buy right now. It popped on earnings and then dropped with the choppiness. Yesterday it burst 10% higher above the 50sma, so this is a buy. If Silver is about to break out & run, this could benefit very much.
HL – I posted this chart on FEB 7, the potential above this box consolidation is very good.
PLG looks almost ready to break out. Let me show you more…
PLG – I love this break out & back test, but PLG closed yesterday a bit lower at $2.16. No break out yet.
PLG – Oh yes, I STILL LOVE this base & THE UPSIDE POTENTIAL OUT WEIGHS THE RISK 🙂 Position size controls risk.
SILV was a buy Friday , but was posted in the weekend report.
SILV DAILY – SILV is actually an EXCELLENT Big picture chart, running $1 to $8 and then consolidating here. It broke the 50 sma Friday an hour into trading.
SILV- Someone must have known something, because they released a drill repoort and it took off 12% higher.
