Gold and silver were flat most of the day and the miners broke to new highs then settled below yesterday’s highs. I had said in a morning report I put out that I leaned bullish on them but to keep stops. Was a really tough day to trade them. Professional traders only please.
We have three green triangles up for gold, silver and the miners, but they technically don’t signal a swing trade until the weekly turns green. For the most part they are day trades only, and at that, they are risky and one should only trade them with tight stops unless utilizing smaller shares.
GDX, NUGT, JNUG, JDST
We still don’t know what direction the miners will go, but GDX, NUGT and JNUG are all sitting with daily green triangles waiting for the weekly green. JDST meanwhile is still in weekly and monthly green so it is still in play until that weekly triangle turns red, if it gets there.
Will all depend on gold and silver prices of course and they have been buoyed of late with the dollar peaking at that 88 mark I mentioned a few reports ago.
I mentioned to put TZA on the radar in the morning report. It’s one that is beginning to look very attractive but because it is still scoring -100, it is a somewhat risky play. I just think the market is about ready to top out for a bit and might be worth a shot for a swing trade of a few days. Buy at your own discretion.
USO is still on the radar, lingering just above that 29 level which I would like to see it break before going long.
UGAZ is toast. I suppose I could have just said to play DGAZ, the opposite of UGAZ, but I don’t really like to trade that way. I typically just wait for the right set up, try to avoid immediately flipping (experienced traders only please) to the other side as the stock/ETF you go long can still have legs moving in that same direction of the position you took profit from. Always take profit and don’t get greedy. Easier said than done.
Doug Eberhardt is a 28 year financial services veteran and precious metals broker selling gold and silver at 1% over wholesale cost. Doug has written a book to help investors understand how gold and silver fit into a diversified portfolio, how to buy gold and silver, and what metals to buy. The book; “Buy Gold and Silver Safely” is available by clicking here Contact phone number for Buy Gold and Silver Safely is 888-604-6534
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