CRM Update – December 13, 2017 …

One of the issues facing traders right now is the pending holiday season which typically sees less active markets.  That lack of conviction or volume in trading can often bring about “fake” movement in stock prices and that can lead traders from getting sucked into getting involved in a longer-dated trade when they should be holding off and waiting for more confirmation.  Is that the case here in CRM? Continue reading

Didn’t Quite Make It Back to the Toilet …

I wrote a blog piece on October 13th about Chipotle Mexican Grill Restaurants (CMG) (click here).  I wrote it back then because the daily ATR resistance level had been broken and therefore I was wondering whether or not the stock was complete in terms of its downward pain.  I stated that despite the improvement in the look of the daily/195-min charts, I was going to hold off looking at taking any positional/swing trades in CMG until at least after CMG was able to take-out the relative strength indicator’s prior pivot high on the 195-min chart.  It never got that far, before the earnings report took out the legs from underneath the stock price today.

My title reference of “the Mexican Two-Step” back on Oct 13th refers to the common occurrence that Canadians experience when down in Mexico during the winter months … bugs/viruses in the water/food/drinks often show up in the need to spend significant time on the toilet.  Well, it looks like the holders of CMG going into the earnings report didn’t quite make it back to the toilet in time to avoid an accident!

I thought it would be useful to put up the longer-term charts, to show traders once again why I think you need to have the longer-term frame charts in sync with your intended trade if you expect to swing trade any stock nowadays.  Ignoring the bigger time can cause serious pain at times … Continue reading

Is Gold finished with its Corrective Pull-Back?

The Gold ETF (GLD) broke out of the downward broadening price pattern back in August.  That break, if accepted, would be an important inflection point for traders and signal a great swing trade opportunity for those paying attention.  I traded that break higher but have been out of the precious metal trades since September 8th when I noted on this blog site about the oncoming strength in the US$ (click here).

Here are the charts I am watching …

Gold ETF (GLD) – Weekly Chart

Gold ETF (GLD) – Daily Chart

The daily ATR resistance level was broken last Friday and this week you could argue that GLD has done exactly what I like to see price do when I am watching for the “acceptance” of that ATR break (i.e., a controlled price consolidation that holds above the new ATR support level and/or the prior price pivot low).

I am starting long swing positions in gold miners today, with the thought to build that position over the next couple of weeks.  My stop will be if/when GLD drops below the October 6th daily candle low of $119.78 on two consecutive 65-min candles or on a closing daily candle basis (whichever comes first) …

Cheers … Leaf_West