Trading Systems blogs

Below are charts of Goldcorp Inc. (GG), streetTRACKS Gold Trust (NYSE:GLD, the Gold ETF) and the PHLX Gold & Silver Sector Index (XAU). Not surprisingly they look similar. XAU is a little bit stronger and has been able to climb above its 50-day moving average. GG and GLD actually look like decent shorts to me if they take out this week's lows. All the charts are very overbought so a dip or consolidation wouldn't shock me.

Having said that, I don't know if I'd trade gold based solely on the technicals -- it's so tied to world & economic events/developments...

July 6, 2006 Stock Market Recap
at 2006-07-09 19:42:49

Volume was on the light side again today. It seems like the market's just in a holding pattern waiting for the big bad jobs report to be released tomorrow morning. The S&P managed to close dead on its 50-day moving average today (damn those technical traders). It'll be interesting to see where it ends up at tomorrow's open -- I'm assuming there will be a gap due to the jobs number. The action on the Nasdaq, and especially the NDX/QQQQ, seems really bearish to me and I'm not sure that it can be saved by the payroll data.

Trend Table

No changes today

*Trend*	Nasdaq	S&P 500	Russell 2000
Primary	Down	Up	Up
Inte ...read more Watchlist for July 7, 2006 at 2006-07-09 19:42:49 Woah, what happened to the futures? Last time I check they were running up just after the payroll data. Looks like bears are running rampant now... Potential swing trades: See one of the recent 'Chart Reading' posts for some potential swing candidates. Potential day trades: (From Briefing.com) Gapping Down Stocks gapping lower on disappointing guidance: WEBM -28%, NMSS -29% (also First Albany downgrade), BOBJ -25% (also multiple downgrades), MIVA -16%, KONG -16%, MMM -6% (co mentions weak LCD demand: affecting GLW -3.6%, GNSS -3.3%), AMD -3.1%... Gapping lower on disappointing earnings/guidance: HORC -27% (also Deutsche downgrade)... Other News: TOMO -15% (receives notice of p ...read more Chart Request: Pacific Ethanol Inc. (Nasdaq : PEIX) at 2006-07-09 19:42:49 It looks to me like the party's over for Pacific Ethanol. It's had a nice run the last couple of weeks but it's running into resistance around $25. What really bothers me about the chart is all that volume in April and May at higher prices. IMHO that shows a lot of overhead resistance from people who bought back then and are probably looking to sell at break-even. Chart Request: Peabody Energy Corp. (BTU) at 2006-07-09 19:42:49 BTU is the situation that I just hate -- above its 200-day moving average and below the 50-day average. It has just completed a rally from the 200 to the 50 and appears to be stalling out. While it's broken the May - June downtrend, it has yet to take out the early June high. I think there are easier plays out there right now. Remember, no setup, no trade. :-) There are thousands of other stocks to choose from. Gun to head, I'd look to go long above the 50 DMA and short under the blue trendline. ...read more