Direxion Daily Junior Gold Miners Index Bull 2X SharesArca
Description
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Possible breakout in RSI after decline.
Short JNUG until it hits bottom and then BUY BUY only if price does not break the channel resistance. (important) *the channel is not drawn here
Trade closed: target reached
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This is where I will take profits from the short
Comments
SeekingDelta
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Can you explain the pattern you've outlined on RSI? I'm not as familiar with trendlines used on RSI.
JoshKou
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@SeekingDelta, It is a triangle pattern, and it can be applied to the price chart and RSI chart
SeekingDelta
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@JoshKou, OK I'm familiar. Ascending triangle...would break to the upside, putting RSI into oversold? That happened 3 times in a big way since Dec. and JNUG didn't care. How can this be your basis for shorting? I think there are resistance levels on miners, gold, and silver that carry much more meaning, and we're not there yet.