Changes

Well let’s hope I have more to talk about soon, and today is a good example of some changes that are finally starting to occur. It has been one tough ride, I won’t deny it! Today we see a few things happening that always precede a trend change, for example the short term charts start to flip to positive before the long term charts show the strength.

While I didn’t make any changes today, thus have no trades to report, I want to show you what i noticed today. On top of the early weakness which was again reversed during the day to close positive, let me show you some charts. GDX, GDXJ, and SLV among others, all turned higher on the half-hour bar charts, in fact some are already showing a “golden cross” higher, basically confirming an uptrend on this very short term basis. We want to see more strength, and start turning the daily, weekly, then monthly charts higher again, but its a start!

Lastly, let’s back out and look at the daily GDX chart, which shows a PSAR buy signal triggered today. It’s the sole pink diamond on the far right side of the chart, and GDXJ again is similar with it’s own PSAR buy triggered today. I will also not that Bob Moriarty from 321gold.com wrote today in his article that he thinks the bottom is here. I respect his opinions and while nobody is right all the time, he gets darn close and should not be ignored. Keep in mind the miners have started weak in the mornings the last couple days, only to finish much stronger. Lots of bulls are out of positions right now, sitting on the sidelines and waiting for miners to turn higher. If this is the turn, they can gain upside momentum very quickly, so if I did not own miners yet, I would be making big buys tomorrow!

I won’t just run out and buy first thing tomorrow, but I will be ready to add to positions in strong names like Equinox Gold (EQX) once the stochastics reach oversold on the intraday charts. That could happen tomorrow later in the morning (at the soonest) or if not by the close tomorrow, then I should get a chance on Friday at some point, but I will wait until miners get oversold no matter what.