The Trading Opportunities are endless in this market. The group with everyone’s attention this afternoon is the gold miners.
Here’s a quick look at two of the most explosive bases in the group.
NovaGold, $NG, has based for two year years and has been immune to most of the recent weakness in gold. Over last week’s high of 4.92 this could quickly push to 6.3ish. The current problem is the risk is down to 4.48, making the idea less attractive until we get that breakout.
Yamana, $AUY, has formed a double bottom base over the past 7 months. Volume has really increased on this move higher as the intermediate trends turn higher as well. Over last week’s high of 2.75 this could really explode up towards 4. Again, the risk is wide down to about 2.45 until a breakout and another low is established.
There are no guarantees in markets and I’m not convinced the miners can sustain a sharp rally here, but these stocks may be able to rip by themselves.
Disclosure: I have no position in AUY or NG.
Trade ’em well!