CHART SIGNALS & ANALYSIS
(2 months of time, 30 minute bars)
Big Volume In Some Juniors. More To Come?
Dev Cheekock (Sprout)
email: dev@goldsproutprofits.com
Sep 19, 2011
I combine 30 minute charts on the investment I'm trading with
1 minute charts on the underlying commodity, to look for signs
of powerful buy or sell action by the largest commercial traders.
The 1 minute gold chart is especially important.
GLDX-NYSE (Gold Explorers Fund)
CLICK HERE TO SEE YOUR GLDX BUY & SELL ZONES
IN PLAY NOW
Price Range.
My projected range for your next 5 trading days is $15.25 to
$17.25. That's a 13% maximum gain, if it happens, in just a week.
Identifying the current range of any investment is by far the
most important factor in making immediate profits.
In my model portfolio for subscribers, my GLDX holding is now
3.40% of the total portfolio.
RSI. This classic indicator that oscillates between 1
and 100 is currently at 35.01. The RSI is now in a rising trend.
In terms of valuation, the RSI is relatively low.
Bollinger Bands. The current price of $15.96 for GLDX
is near the middle Bollinger band. Buyers are likely to dominate
near the $14.75- $15.75 price area, and sellers near $16.50-
$17.50. Note that I am now using a huge (100, 2) series for my
Bollinger bands.
Volume. I am keeping a close eye on each 30 minute bar.
Many individual junior gold stocks showed powerful volume in
the last 30 minutes of trading on Friday, and I am hoping to
see that spill over in the GLDX this week, which would be a very
positive sign for the whole juniors sector.
In-House Oscillator (Sprouticator). I use a blue Sprouticator
for buying and a red one for selling. The current reading of
2 blue for GLDX indicates light buying by professionals is now
in play.
GLDX Technical Summary: Price is relatively low. I would
like you to work in the $15.25 to $17.25 range that I project
for the next 5 trading days. In the big picture, I am operating
my portfolio with a solid exposure to GLDX.
The Bottom Line: Buy GLDX around $14.75- $15.75. Sell
around $16.50- $17.50.
***
REMX-NYSE (Rare Earths Fund)
CLICK
HERE TO SEE YOUR REMX BUY & SELL ZONES IN PLAY NOW
Price Range.
My projected range for your next 5 trading days is $19 to $23.
In my model portfolio for subscribers, my REMX holding is now
2.82% of the total portfolio. It's a moderate holding.
RSI. The current reading for REMX is 58.64. The RSI is
now in a falling trend. In terms of valuation, the RSI is currently
relatively high.
Bollinger Bands. The current price of $20.16 for REMX
is near the middle Bollinger band. Buyers are likely to dominate
near the $19- $20 price area, and sellers near $22- $23. I'm
using a (50,2) series on my Bollinger bands.
Volume. Big buy volume should come into play near $18
and big sell volume near $26.
In-House Oscillator (Sprouticator). The current reading
of 2 blue for REMX indicates light buying by professionals is
now the action in play.
REMX Technical Summary: THE price is relatively neutral.
I would like you to work in the $19- $23 range for the next 5
trading days. In the big picture, my REMX position size is moderate.
The Bottom Line: Buy REMX around $19- $20. Sell around
$22- $23.
***
SIL-NYSE (Silver Juniors)
CLICK
HERE TO SEE YOUR SIL BUY & SELL ZONES IN PLAY NOW
Price Range.
My projected range for your next 5 trading days is $25.50 to
$29.50. In my model portfolio for subscribers, my SIL holding
is now an aggressive 3.65% of the total portfolio. A move from
the low end of my projected range to the high end is a move of
about 15%. Even if you get just a piece of that it is still very
good.
RSI. The current reading for SIL is 54.67. The RSI is
now in a falling trend. In terms of valuation, the RSI is relatively
neutral.
Bollinger Bands. The current price of $26.75 for SIL is near
the middle Bollinger band. Buyers are likely to dominate near
the $24.50- $26.50 price area, and sellers near $28- $29. I favour
the (50,2) series for SIL.
Volume. Big buy volume should come into play near $20
and big sell volume near $30.
In-House Oscillator (Sprouticator). The current reading
of 2 blue for SIL indicates light buying by professionals is
now the action in play.
SIL Technical Summary: The price is relatively neutral.
I would like you to work in the $25.50 to $29.50 range for the
next 5 trading days. In the big picture, I am operating my portfolio
with an aggressive exposure to SIL.
The Bottom Line: Buy SIL around $24.50- $26.50. Sell around
$28- $29.
***
ZJO.TO (Oil Juniors)
CLICK HERE TO SEE YOUR ZJO.TO BUY & SELL
ZONES IN PLAY NOW
Price Range. My projected range for your next 5 trading days
is $18 to $21. In my model portfolio for subscribers, my ZJO
holding is now 2.48% of the total portfolio, which is probably
a bit light, given that I am extremely positive on oil prices
in the medium term. The nice thing about focusing on the current
range is that price really never feels like it is "getting
away," because a new range appears very frequently, allowing
a risk-controlled entry into the investment.
RSI. The current reading for ZJO is 61.79. The RSI is
now in a falling trend. In terms of valuation, the RSI is relatively
high.
Bollinger Bands. The current price of $19.09 for ZJO
is near the upper Bollinger band. Buyers are likely to dominate
near the $17.50- $18.50 price area, and sellers near $20- $23.
Here again, I've changed my Bollinger bands to a whopping (100,
2) series.
Volume. Big buy volume should come into play near $15
and big sell volume near $24.
In-House Oscillator (Sprouticator). The current reading
of 2 red for ZJO light selling by professionals is now the action
in play.
ZJO Technical Summary: Price is relatively high. I would
like you to work in the $18- $21 range for the next 5 trading
days. In the big picture, I am operating my portfolio with a
light exposure to ZJO.
The Bottom Line: Buy ZJO around $17.50- $18.50. Sell around
$20- $23.
***
TRX-AMEX (Tanzanian Royalty)
CLICK
HERE TO SEE YOUR TRX BUY & SELL ZONES IN PLAY NOW
Price Range.
My projected range for your next 5 trading days is $5 to $7.
In my model portfolio for subscribers, my TRX holding is now
1.82% of the total portfolio. A 1.82% holding for any holding
is light.
RSI. The current reading for TRX is 55.13. The RSI is
now in a rising trend. In terms of valuation, the RSI is currently
in a relatively neutral area.
Bollinger Bands. The current price of $5.60 for TRX
is near the middle Bollinger band. Bollinger band analysis indicates
that buyers are likely to dominate near the $5- $5.70 price area,
and sellers near $6.70- $7. Note I`m using a (100, 2) series
on my Bollinger bands.
Volume. Big buy volume should come into play near $5 and
big sell volume near $8.
In-House Oscillator (Sprouticator). The current reading
of 2 blue for TRX indicates light buying by professionals is
now the action in play.
TRX Technical Summary: The price is relatively neutral.
I would like you to work in the $5- $7 range for the next 5 trading
days. In the big picture, I am operating my portfolio with a
light exposure to TRX. Although there hasn't been much movement
in TRX I do have high expectations for this stock in the near
future, as you can see from my selling range of $6.70- $7!
The Bottom Line: Buy TRX around $5- $5.70. Sell around $6.70-
$7.
***
UXG (US GOLD)
CLICK HERE TO SEE YOUR UXG BUY & SELL ZONES
IN PLAY NOW
Price Range.
My projected range for your next 5 trading days is $5.80 to $6.80.
In my model portfolio for subscribers, my UXG holding is now
a solid 2.91% of the total portfolio.
RSI. The current reading for UXG is 50.21. The RSI is
now in a rising trend. In terms of valuation, the RSI is currently
in a relatively neutral area.
Bollinger Bands. The current price of $5.91 for UXG
is near the middle Bollinger band. Buyers are likely to dominate
near the $5- $6 price area, and sellers near $7- $9.
Volume. Big buy volume should come into play near $4 and
big sell volume near $8. Note the massive volume bar in the last
30 minutes of trading on Friday.
In-House Oscillator (Sprouticator). The current reading
of 2 blue for UXG indicates light buying by professionals is
now the action in play.
UXG Technical Summary: The price is relatively low. I
would like you to work in the $5.80- $6.80 range that I project
for the next 5 trading days. UXG is another quality junior stock
that hasn't had much movement for a long time. I have high expectations
for this stock in the short term, and for many years to come.
The Bottom Line: Buy UXG around $5- $6. Sell around $7-
$9.
Disclosure:
I own positions in GLDX, REMX, SIL, ZJO.to, TRX, and UXG.
###
Dev Cheekock (Sprout)
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Monday October 17, 2011
For 321Gold readers: Email me at testdrive@goldsproutprofits.com and I'll send you my micro gold
futures report and Bollinger bands report for gold and silver
futures. The standard COMEX gold futures contract is 100 ounces.
The mini contract is about 32 ounces. That is still fairly big
if you want to be able to hold a number of contracts, in most
cases. The recently-introduced micro contract is just 10 ounces,
and could be a game changer for the retail investor.
Dev Cheekock [Sprout]
website: www.goldsproutprofits.com
email: dev@goldsproutprofits.com
Click here
to subscribe to my service
MODEL PORTFOLIO
GOLD POSITION LIMITS
Minimum long gold position size: 20 contracts (100oz per contract).
Maximum long gold position size: 100 contracts
Minimum short gold position size: 10 mini gold contracts (approx.
32 oz per contract)
Maximum short gold position size: 100 mini gold contracts.
MODEL PORTFOLIO
SILVER POSITION LIMITS
Minimum silver position size: 6 contracts (5000oz per contract).
Maximum long silver position size: 30 contracts
Minimum short silver position size: 10 mini silver contracts
(approx. 1000 oz per contract)
Maximum short silver position size: 50 mini silver contracts.
For gold and silver,
I never like to go below a net long gold position that is less
than 30% of the net liquidation value of the portfolio.
Risk/Disclaimer: No personal investment advice
is given and all investors should understand that their
minimum risk on anything bought is 100% loss of capital. No investment
should be acted on without first consulting numerous licensed
and experienced professional financial advisors. Nobody should
ever invest more than they can afford to comfortably lose, in
anything.
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