While price took out last Thursday high, it failed to sustain the momentum and ended with a bloody nose. Since price still hasn’t taken out the 2nd pivot lower high established on March 23rd,, today high may just as well become a possible 3rd lower pivot high if the bear takes over from here.
Despite the red bar today, the overall chart sentiment is still bullish. The bear really has to bring price down to the low in late March to cause some alarm for the bull. However, any bad reaction to Greece’s final answer may cause a severe breakdown that can take out the low of late March in a day or two. I’ll be watching the market carefully each day.
My persistence in trying to catch the eventual run on $NUGT had me buying more in the morning when price opened higher. It was a strong upward momentum for most of the morning and early afternoon until price began to leak air and gave back half of the gain.
While the green bar shrunk by day close, the ascending triangle is still in good form for the moment. I’m still holding all the shares I added today. Sooner or later, a breakout will happen against the ascending triangle. The question is which way?
$CERS suffered a sell-off in the morning along with other biotech stocks. I took the opportunity to add some more.
The chart didn’t look too good during the day until a late rally in the last hour recovered a lot of ground. The chart looks much better now with price closing above the 89 XMA line.
I’d been watching $KGJI on and off and today I felt I had to buy in for the bounce.
Notice the not-so-perfect cup & handle (C&H) pattern that started back from mid-September of last year. By buying today, I’m jumping the gun on a possible C&H breakout pattern. $KGJI has a book value that is about 3x more than current stock price and I believe that investors will sooner than later realize that this is a real company with billion dollars of sales despite being a Chinese company in China.
$LRAD had a bad day.
Price fell back inside the consolidation range. If there is a bounce tomorrow, the overall trend is still up. If not, the 79 & 89 MA lines are formidable resistances.
$LEU also corrected a bit but I won’t be putting up chart since the small correction doesn’t change the bullish outlook on my part.
Due to big correction on $LRAD, my port gave back 3.5% for the day. YTD gain is now at 16.9%.
LRAD, CERS, KGJI, NUGT, LEU and 18% cash.
My 2 cents.
Categories: Daily trading Journal