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There is always a bear market somewhere


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#1 diogenes227

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Posted 16 August 2018 - 06:29 PM

From the Link:

 

 

A bounce may be due right about now for a quick scalp on the long side before any more decline. After drops like these this week, it will not surprise me if short-sellers want to log some profits for the weekend. Watch the open tomorrow for a trigger and keep a tight stop.

 

It must be stressed more downside will come with this much momentum in place. Shorting the bounce, if and whenever it comes, may be the better strategy for swing traders. The sector will be in its own bear market until it isn’t anymore and it’s going to have to base for sometime before it ever sees a bull again.

 

For more and the charts:

 

GOLD SECTOR'S BEAR MARKET


"If you've heard this story before, don't stop me because I'd like to hear it again," Groucho Marx (on market history?).

“I've learned in options trading simple is best and the obvious is often the most elusive to recognize.”

 

"The god of trading rewards persistence, experience and discipline, and absolutely nothing else."


#2 diogenes227

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Posted 18 August 2018 - 11:41 AM

From the Link:

 

 

A bounce may be due right about now for a quick scalp on the long side before any more decline. After drops like these this week, it will not surprise me if short-sellers want to log some profits for the weekend. Watch the open tomorrow for a trigger and keep a tight stop.

 

It must be stressed more downside will come with this much momentum in place. Shorting the bounce, if and whenever it comes, may be the better strategy for swing traders. The sector will be in its own bear market until it isn’t anymore and it’s going to have to base for sometime before it ever sees a bull again.

 

For more and the charts:

 

GOLD SECTOR'S BEAR MARKET

 

On the scalp call Friday, NUGT up 5.8% from the open, JNUG 8.3%.

 

Link has been updated going foward.


"If you've heard this story before, don't stop me because I'd like to hear it again," Groucho Marx (on market history?).

“I've learned in options trading simple is best and the obvious is often the most elusive to recognize.”

 

"The god of trading rewards persistence, experience and discipline, and absolutely nothing else."


#3 dougie

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Posted 18 August 2018 - 04:46 PM

Curious:

sector needs to base call...

doesnt the sector sometime do a V bottom? Is that basing?



#4 diogenes227

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Posted 19 August 2018 - 03:18 PM

Curious:

sector needs to base call...

doesnt the sector sometime do a V bottom? Is that basing?

 

Yes, sectors do V bottom at times, and given the emotions of crazy gold traders that would not be surprising. 

 

Basing more often happens, at least for investing, when there as been downside momentum like this. The stock or sector bounces, retests the lows, bounces again, retests again, going sideways through time in a range before breaking out of the range to the upside. My suggestion in the update link is this:

 

 

UPDATE FRIDAY:

 

Buy NUGT on the open Friday for a 5.8% gain for the day, 9.6% from the previous close, JNUG for 8.3% on the day. Called this a scalp so took profits on the day trade and will watch the bounce to short. Alternative play would be to take half the profit on the close, let the rest ride with a break-even stop.


Edited by diogenes227, 19 August 2018 - 03:20 PM.

"If you've heard this story before, don't stop me because I'd like to hear it again," Groucho Marx (on market history?).

“I've learned in options trading simple is best and the obvious is often the most elusive to recognize.”

 

"The god of trading rewards persistence, experience and discipline, and absolutely nothing else."


#5 dougie

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Posted 19 August 2018 - 10:39 PM

thanks