Be Ready to Make Your Next Move
Friday, January 29 2010 @ 01:16 PM PST
Snippets from:
www.thegoldandoilguy.com
If this is the beginning of a new downtrend, then the action to look for is a rally in the Dow Industrials (Symbol: INDU) back up to 10,500, followed by a break back below 10,200.
Silver SLV ETF Trading
Silver has a funky looking chart. It has formed a large megaphone pattern and possible head & shoulders pattern. Both are bearish and if we use the Head & Shoulders to calculate where silver could end up trading if it continues to break down, then $14.00 would be a level to look for a bounce.
Natural Gas UNG Fund
The natural gas fund UNG has been in a down trend for over a year and the recent drop looks to be the start of another sell off. This could possibly form a reverse head & shoulders pattern with this drop moving UNG down to the $8.75 – $9.00 area. We will have to wait and watch things unfold for now.
Precious metals do look oversold and ready for a small bounce or sideways move; I do think they will head lower. Too many traders are still holding on to their gold positions and until a large number of them get scared out of their positions, we will not see gold rocket higher.
*This is not an endorsement of any of these securities, nor is it intended as investment advice, but rather mentioned as worthy of educational pursuit and follow up.
www.thegoldandoilguy.com
If this is the beginning of a new downtrend, then the action to look for is a rally in the Dow Industrials (Symbol: INDU) back up to 10,500, followed by a break back below 10,200.
Silver SLV ETF Trading
Silver has a funky looking chart. It has formed a large megaphone pattern and possible head & shoulders pattern. Both are bearish and if we use the Head & Shoulders to calculate where silver could end up trading if it continues to break down, then $14.00 would be a level to look for a bounce.
Natural Gas UNG Fund
The natural gas fund UNG has been in a down trend for over a year and the recent drop looks to be the start of another sell off. This could possibly form a reverse head & shoulders pattern with this drop moving UNG down to the $8.75 – $9.00 area. We will have to wait and watch things unfold for now.
Precious metals do look oversold and ready for a small bounce or sideways move; I do think they will head lower. Too many traders are still holding on to their gold positions and until a large number of them get scared out of their positions, we will not see gold rocket higher.
*This is not an endorsement of any of these securities, nor is it intended as investment advice, but rather mentioned as worthy of educational pursuit and follow up.
