Posted by frtaylor on 24th of Jan 2011 at 03:49 pm
I have been waiting for an oversold bounce, but GDX has moved
again below its 200ma. How do you view the prospects for a bounce
now that it has drifted down below the 200ma?
I'd follow the 60 min chart for a closer view, for now it's in a
downtrend; there is some positive divergence potential and there is
a possible bull wedge forming, but it needs to bounce and find
support soon. Watch the trendline over the GDX/GLD ratio, if
that breaks then that would be a positive.
GDX did bounce off the 200 MA last week, but then failed but it
did produce a short term trade off that level last week, I played
it. Again I just pointed out that some potential support
levels were approaching.
Matt, thoughts on a GDX bounce?
Posted by frtaylor on 24th of Jan 2011 at 03:49 pm
I have been waiting for an oversold bounce, but GDX has moved again below its 200ma. How do you view the prospects for a bounce now that it has drifted down below the 200ma?
I'd follow the 60 min
Posted by matt on 24th of Jan 2011 at 04:00 pm
I'd follow the 60 min chart for a closer view, for now it's in a downtrend; there is some positive divergence potential and there is a possible bull wedge forming, but it needs to bounce and find support soon. Watch the trendline over the GDX/GLD ratio, if that breaks then that would be a positive.
GDX did bounce off the 200 MA last week, but then failed but it did produce a short term trade off that level last week, I played it. Again I just pointed out that some potential support levels were approaching.
I played the quick bounce
Posted by frtaylor on 24th of Jan 2011 at 04:05 pm
I played the quick bounce last week, for about 1.5% gain. But I didn't go short after that. So I'm flat at the moment.
Well done frtaylor.
Posted by steve on 24th of Jan 2011 at 04:11 pm
Well done frtaylor.