Thursday, March 29, 2012

GLD / SLV / GDXJ

I had a problem uploading as the album was full so this is not as timely as I'd like, and I see we are seeing some market movement now as the positive divergences suggested.

Silver/SLV

Today's 1 min with positive divergences, and a recent negative, that was obviously a consolidation.

The 2 min chart which shows the positive divergence that prompted my long call on SLV/GLD last week and a leading positive divergence in to the pullback.

The 5 min chart w/ last week's positive divergence and a leading positive divergence on the pullback.

Longer term on the 30 min, a nice long relative divergence going in to a common head fake shakeout in the white box, like I always say, the head fake/shakeout move is one of the last things we see before a move up on a positive divergence or a move down on a negative divergence. Basically this chart is inline with price and as I said last week, I expected this to be a move similar to a swing trade.

GLD
GLD's accumulation today, that red arrow was obviously a consolidation


 The 5 min chart showing a cleaner positive divergence which is leading positive here.

 The longer term 5 min chart showing the reason for last week's long call in the PM's, again in the white box below the red trendline, a shakeout move that was accumulated before GLD moved higher. Tight now the leading positive divergence suggests more upside for GLD as well.

 This is the 60 min longer term trend, the head fake move we made 215% on is visible around the 28th of Feb, this appears to be the cleanest positive divergence in GLD since that head fake move that sent GLD lower.

GDXJ-Junior Miners

 1 min positive divergence today, and that red arrow was obviously a consolidation

 The 2 min chart showing decent accumulation near the lows

 The 5 min chart remains leading positive despite the pullback.

And the hourly shows a strong positive divergence, I favor the junior miners over GDX. I think there's probably quite a bit more upside in this move so if you like it, you may want to consider buying a pullback or you could just jump in here or phase in and add on a pulback.


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