A Huge Wave 5 GDX/HUI/XAU Spike Occurred In Rollover Mode For The Upcycle Since 8-15-08
A huge Wave 5 type GDX/HUI/XAU (http://stockcharts.com/charts/gallery.html?%24hui) spike occurred in rollover mode at today's open, for the upcycle since 8-15-08, see http://finance.yahoo.com/q/ta?s=%5EHUI&t=5d&l=off&z=l&q=c&p=&a=m26-12-9,p12,fs,w14&c=. Sometimes this happens, and, there's no way to reliably predict it (rollover action).
The good news for my GDX short position is that huge spike moves tend to mark important cycle highs. It was a day trade that I modestly screwed up and shouldn't have held overnight. This happened recently, where it went against me in a big way, but, I was able to hold on (because of a great system/understanding of cycles) for over a week and make money.
The bad news is that today's big gaps up (43.25 downside gap for NEM, 36.18 for GDX, 80.06 for GLD, 330.47 for HUI, 145.35 for the XAU) might mean that there's more upside. They could be bullish breakaway gaps. Watch NEM's upside gap at 46.12 if NEM continues higher.
However, reliable lead indicator Newmont Mining (NEM) plunged from 44.94 to 43.97 in a matter of minutes just after the open, and, the NEM Lead Indicator is very bearish right now (-1.80% versus the XAU), so, there might not be much follow through.
.......http://www.JoeFRocks.com/
NEM XAU HUI
The good news for my GDX short position is that huge spike moves tend to mark important cycle highs. It was a day trade that I modestly screwed up and shouldn't have held overnight. This happened recently, where it went against me in a big way, but, I was able to hold on (because of a great system/understanding of cycles) for over a week and make money.
The bad news is that today's big gaps up (43.25 downside gap for NEM, 36.18 for GDX, 80.06 for GLD, 330.47 for HUI, 145.35 for the XAU) might mean that there's more upside. They could be bullish breakaway gaps. Watch NEM's upside gap at 46.12 if NEM continues higher.
However, reliable lead indicator Newmont Mining (NEM) plunged from 44.94 to 43.97 in a matter of minutes just after the open, and, the NEM Lead Indicator is very bearish right now (-1.80% versus the XAU), so, there might not be much follow through.
.......http://www.JoeFRocks.com/
NEM XAU HUI
Labels: Gold, Gold Stocks, HUI, NEM, Silver, Silver Stocks, XAU
posted by Joe Ferrazzano at
6:46 AM
3 Comments:
It's crucial that you average up.
By
Sean, at 8:08 AM
With today 8-21's big GDX gap up I'm not looking to add to my short position right now, but, the NEM Lead Indicator has turned extremely bearish short term, and, the Walmart (WMT) Lead Indicator has become bearish short term, at least right now.
I'm looking to trade the S & P 500 ultra long via SSO, or, maybe trade the ultra short basic materials (SMN) or ultra short oil and gas (DUG).
By
Joe Ferrazzano, at 9:24 AM
For trading the S & P 500 ultra long via SSO I'm obviously waiting for the Walmart (WMT) Lead Indicator to turn bullish.
By
Joe Ferrazzano, at 9:26 AM
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