Direxion Daily Junior Gold Miners Index Bull 2X SharesArca
Description
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Well the black trend line did not hold like I thought it would. Price also briefly dipped below the blue trend line. That is usually a signal that it will be broken in the near future. So it appears that jnug will continue down tomorrow. The two areas that it could bounce off of are $17.50 range and if that is broken then $16.67 range. But that looks to be about it if it gets that far. a little bit bummed. I did buy jnug at $18.41 and I will hold.
SO I shifted my cycle bottom line to the 27th . I truly believe that this will mark the bottom for this cycle. Kind of tough to try to time the market and predict the future. Cant always be totally correct. But if price still makes it to my price target area by Friday, then I will be happy.
Also as you can see there was a change to my arrows and a slight adjustment to the pick boxes for the next two weeks. I try the best I can to guess price path for the week. Tuesday is the cut off for the COT report and Big money knows that. So that's why I think tomorrow, if jnug continues to go down, will by the final day this week before it turns around.
well price dipped below the major trendline today, signaling that sometime in the not too distant future it will drop below it. But in the meantime, I believe that today was the bottom and reversal day. Price is climbing in After Hours especially. So I am looking for $18.30 range for tomorrow and then $20 range for Friday. I am hoping that momentum will continue until next Tuesday to the top of the wedge for that day which should be approximately 22.40ish, (where I will sell no later than Tuesday so my funds will be settled for the Friday Oct 7th report) before dropping back down to $20 range. I am actually crossing my fingers that after Tuesday, Price drops down to the blue trendline again. If price drops to that trendline, I will buy Jnug at that point, and rely on the report to be negative, (good for Gold), and shoot up to the top of the broader wedge before settling for the day (7th) around $22 to $22.50 range. After that, I think the blue arrows tell the tale for Jnug price movement, hoping for price to reach $26+ by the 12th or 13th before dropping to the next price target for that Friday.
VirtualFax
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Thanks Sal. I can see quite a bit of a revision of your chart in comparison to the previous version ; )
After JNUG hit $18.01 earlier in the afternoon, I placed a long order at the same price in expectation of double-bottoming. However, I managed to cancel the order literally 2 min before the execution as I somehow got a gut feeling that it's not the final bottom yet. Since last Mon I had been eyeing the trendline as a potential buy level but after FOMC I lost hope that it would be hit again as the rally seemed to have begun.
After this afternoon's action I believe there is growing chance that Gold would revisit the bottom of the wedge that formed over the last three month, while JNUG would pay a tribute to the trendline, maybe even penetrating it in safe and inconsequential manner. At the end of the day, there has to be blood on the street before the price takes off because even the fact of how bullish every cat and dog was about Gold in anticipation of Yellen's speech already was an indication that the pop would end up being fake.
If this scenario unfolds indeed, I sincerely hope that you still have available funds to take advantage of the JNUG's bargain price over the next little while.
I also don't anticipate JNUG to bottom out this week but rather first or even second week of Oct. However, that's my personal opinion and only time will tell.
SalN
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Thanks
I just cant see Jnug bottoming out the first week of October. And if the report on the 7th is economically good, then you will get Jnug to go down just like Larry Edelson thinks. But I don't think so.
If Jnug touches the trend line in the next two days then I strongly believe that that will be the bottom simply because the bottom of that trend line is inclining. I could see it briefly dipping below the blue trend line intraday but thats about it. This is the fun part to me. Seeing if I can call the price "zone" for a 4th week in a row.
Obviously I take this very seriously because I want to make money. Even if Jnug drops to the trend line, I am not selling, unless there is a very convincing break. And yes, I am up quite a bit so funds will still be there. Its no sweat.
Let me restate something else to clarify. If Jnug goes up like my arrows show, and manages to touch or get close to touching the upper trend line, then I will sell jnug and wait for Oct 7th.
VirtualFax
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Gotcha. Over the next little while, I'm planning to have a buy order waiting at the beginning of each day at a few pennies above the trend in a hope that one day it'll eventually get filled. And you are right, thanks to its inclining nature, the sooner the line gets tagged, the better deal you get : )