GDX mechanical sys

    Posted by observer on 15th of Aug 2013 at 07:57 am
    Title: gdx

    observer- your questions about the GDX

    Posted by matt on 15th of Aug 2013 at 10:06 am

    observer- your questions about the GDX systems:

    where have you been?? I discussed in many newsletters ago how I stopped sending out trade signals to those a long time ago for the GDX Renko and BPGDM old systems because I thought they didn't work well enough on their own and that we all should rely on our technicals for a more reliable signal vs waiting for those systems.  Now I did recently combine them both into a 'combined' system that appears to work better than the systems alone because it filters out a ton of whipsaws and I've discussed this over the past few weeks.

    Here's the GDX combined system chart which uses the old GDX Renko and BPGDM charts - it went on a buy signal on Mondayas you can see when both the BPGDM and GDX Renko charts gave a buy signal together for confirmation.

    However that said, Steve and I pointed out a much lower entry last week on Tues or Wed when GDX retested the broken downtrend line we spoke of, and Thursday morning was also a good entry.  My comment has been that at important lows like we had, we could use our technical analysis to enter a much better prices vs worrying about waiting for some system which would have got you in in Monday, vs early last week.  

    That said however this combined system does appear to filter out a lot of whipsaws because you need a confirmation from both the BPGDM and Renko for a true signal - you could use this as a guide going forward, perhaps you could use this to hold part of a swing position i.e. keep your GDX until this system goes on a sell signal, and we will continue to monitor it.  However I also suggest that you use your own technical prowess as well

    Combined System

    Posted by tad51 on 15th of Aug 2013 at 10:29 am

    Matt,

    Did you send out the signal on the combined system on Monday?  If you did I missed it.

    no - as I stated

    Posted by matt on 15th of Aug 2013 at 11:11 am

    no - as I stated above a few min ago and weeks ago, I stopped sending those out, read my comments, I said that I no longer send those out, now I've shown that chart so many times you should have had the chart if you want to follow it, but Steve and I were more focused on a GDX higher low last week, I removed that GDX system page from the website 7 months ago - the combined chart as I stated before l looks very interesting and filters out a lot of whipsaws, however if you look at a blog post of mine a couple weeks back I state that I have not had time to do statistics on it, thus it's not an official system at this time, maybe it will become one, - however last week and this week Steve focused on normal technical analysis which provided a better entry than waiting for that system

    here's my post from July 28th - and since that I've shown it quite a few times, so you should have the chart if you are interested in it. Or if some of you guys are bored, you can go and make a spread sheet with the past buy and sell signals and give to me - Steve and I hardly have time to breath, I have not had the time to go and look at the signals past this date range on the chart to see how it has behaved longer term - if you some of you wish to help me and do this project, I think it's a good exercise - please send the file to me with your observations

    Regarding the combined GDX Renko

    Posted by matt on 15th of Aug 2013 at 12:44 pm

    Regarding the combined GDX Renko and BPGDM chart - just for clarification, that system chart would not give a sell signal until both the Renko and BPGDM give sell signals, i.e. if one of them goes on a sell signal but the other is not - the trade is still long etc

Newsletter

Subscribe to our email list for regular free market updates
as well as a chance to get coupons!