<"I'll be in class for the Futures teaching next month from the 14th - 18th and will probably be trading equities less and less with the exception of holding some key miners that should offer some good returns over the next year or two.">
Good luck with that Futures class, .. that's a tough market to be around, I'll stick to the miners for now, the picking is plenty at the right times, but awful scary at all other times, this must be one of those scary times.
MUX turned bearish faster than anyone thought it would, I think it caught many off guard and by surprise once it broke down near $3.00.
The monthly chart is what concerns me, and I will show you why I lean towards the $2.30 as a target and a possible turning point. This will be my last post here, at least until things pick up at some point, we just dont have the poster participation we used to have and I'm sure it reflects those that used to read as well, I recommend the MUX board out of all the boards in the Gold/Mining/Energy tab, it would be my first choice.
At any rate, ... getting back to the $2.30, or the $2.30/35 as I stated in a recent post.
We celebrated MUX's rise above the upper trend-line not too long ago, ... Well, ... here is what that line looks like now.
This is the Monthly Logarithmic SMA Chart. It's noticeably back below that line we pointed out a while back. We would have to close above $2.90 to recover the trend-line "but more importantly for now", ... we need to move back above the $2.60 to avoid that huge bearish engulfing, and on a good day MUX has the potential to move that much in one day, will Friday be a lucky day for MUX holders?
Ironically, … the monthly pivot on the large green bar from January is $2.34, ... it’s our low end number of the gap from the $2.34/36 set-up, which failed to fill by 1¢ today (Imagine that). Volume this month looks terrible, but a lot of it (29-million) was due to that big volume day it had last Friday, it bumped the avg up.
~~
On this Weekly, The 50-day SMA is also at the $2.30, and the 2nd week of Jan-pivot (its the bar the 50-day crosses over) is at $2.315. It dropped below the 20-day SMA today but recovered, and this weeks volume is more back to normal.
~~
And the Daily, ... you guessed it, ... the 200-day is $2.30, and today's volume looks suspicious to me.
If it drops below the $2.30, I would look for the $2.24-pivot next (Jan-15th), followed by the gaps here, ... screencast.com ... that third circle from the left (purple) should read $2.06 to $2.08.
Robs low $2s might be an area to consider at that point, but I hope we wake up tomorrow, and it moves entirely in the opposite direction and this would have been no more that a test of the 200-day.
 |
