Gold Miners Retreat, Where Is The Next Major Buy Level? $GDX Recently, the leading gold mining stocks have pulled back from their recent highs. The Vaneck Vectors Gold Miner ETF (NYSE:ARCA: GDX) topped out on September 4th 2019 at $30.96. Since that high pivot, the GDX has pulled back to its 50-day moving average around $27.91. Traders and investors must now watch the $26 level to be tested. this level was where the last breakout took place and often the institutional money will defend this area initially when retested. Other support levels below the $26.00 area include the $24.00 and $22.00 levels. Obviously, the $22 area will be my ultimate buying opportunity. This is where the GDX broke out to the upside despite having a bearish weekly base on the charts in May 2019. This level is where the institutional money is heavily invested and where they will usually step in again to defend the equity. Nick Santiago InTheMoneyStocks
ALERT: $SPY Breaking Key Support. Here Is How You Profit From It… The $SPY just broke through a key near-term support level. Gareth Soloway InTheMoneyStocks
Financial Stocks Rip, But Hit Resistance Here $JPM Shares of JPMorgan Chase (JPM) and other banks/financial stocks surged for the third day in a row as interest rates spiked again. Higher interest rates mean more profit potential for the banks. While a beautiful bullish run, investors may want to temper their expectations of further near-term upside. JPMorgan slammed into a triple top today. This will likely result in a pause or consolidation period for up to a week before it can move higher. In addition, investors and traders will do well to remember the Federal Reserve meets next week on interest rates. This adds an extra layer of risk to the bank stocks. One wrong word from the Fed and banks could tank. If you are looking for further upside in JPMorgan, watch for a consolidation period (known as a bull flag). If this forms, there is significant upside to JPMorgan upon a break of the triple top. Gareth Soloway InTheMoneyStocks
Waste Management $WM Has Trashed This Week, Here’s The Trade Waste Management Inc (NYSE:WM) stock topped out on September 5th, 2019 at $121.76 a share. Since that high pivot, the stock has declined by more than 7.0% to $112.26 a share. Traders should also note that the stock is now trading below its August 5th pivot which was a very strong support area. The stock is now getting a bit oversold on the daily chart so there will likely be some short term bounces, but lower prices are ultimately in the cards. One level that has caught my eye as major support is around the $102.00 area. This is where there is a major gap fill from May 31, 2019. There is also support from the 50-week moving average on the chart. This area should be solid for a long side swing trade in WM stock. Nick Santiago InTheMoneyStocks
Here’s The Next Major Gann Level For Slack $WORK Throughout my trading career I have been able to isolate a lot of tops and bottoms in the market. one of my primary tools for doing this has been by using many of the techniques from the legendary WD Gann. While I prefer to use conventional technical analysis along with Gann techniques sometimes when trading new issues there isn’t enough chart data to work with. In that case, I will often just use the Gann techniques as a stand alone method. Recently, one of the hot IPOs, Slack Technologies (NYSE:WORK), has come under heavy selling pressure. The stock debuted on June 20th 2019 and traded as high as $42 a share. Since that day, the stock has plunged and is currently trading a $25.05 a share. Many traders and investors are now wondering where the stock could bottom. While we don’t have a lot of chart data to work with the Gann wheel tells me that the stock should find solid support around $20.50 level. Now I will be looking for a bottoming pattern when the stock reaches that price area. Stay tuned and keep Slack Technologies (NYSE:WORK) on the radar. Nick Santiago InTheMoneyStocks
Sell: Apple $AAPL Hits Key Level Shares of Apple Inc. (AAPL) tagged a major trend line connecting the last three pivot tops going back to April 2019. This likely means near-term resistance and a level to expect a pull back. I grabbed some $AAPL puts and added a swing short. While the line is getting pierced, it should not matter. Multiple metrics signal overbought. Add in the chart level tagged, the robot in me pulls the trigger. Apple has been on a serious bull run as trade war relations have warmed in recent weeks. The stock was trading at $192 in early August 2019 and now sits above $225.00. Investors are banking on President Trump willing to give in on the trade detail to help his re-election campaign. Thus Apple nearing its all-time highs again. However, I am not sold on that and expect more hiccups before it is settled. Based on the stock chart hitting the key trend line, I am expecting a pull back on Apple to $215.00 near-term. This is where I would likely take profits on my puts. I plan to hold the swing trade for a bigger move lower to $180.00 Gareth Soloway InTheMoneyStocks
Semiconductor ETF Nears Double Top Shares of the semiconductor ETF $SMH inched towards double top on the daily chart. This is a classic resistance point on any chart. Expect a pull back in the semi’s in the near-term once double top is tagged/pierced. Markets continue to hope for a trade deal and are factoring in one in now. The market is also expecting no US recession and an extremely accommodative Federal Reserve. With hopes high in all regards, expect the rug to get pulled next week into options expiration. Gareth Soloway InTheMoneyStocks
Microsoft $MSFT Forms Nasty Bear Flag Shares of Microsoft (MSFT) are putting in a nasty bear flag daily stock chart formation. Technical traders know that this signals a sharp downside move coming in the stock. Based on calculations, the downside technical target is $120.00. The flag pattern itself will trigger when Microsoft trades below $135.00 on a daily closing basis. Note the stock chart below. Investors and swing traders can short the tech giant on a close below $135.00. Based on the chart pattern, it should trigger within days. If the pattern fails, it will be noted by a close above the all-time high of $141.68. This is a great risk/reward setup. Upside risk is under $7, downside target is $15. Gareth Soloway InTheMoneyStocks
Energy Stocks Pop, But The Trend Is Still Down, Here’s The Trade $XLE This morning, all of the leading energy stocks are trading higher after an attack on an oil field in Saudi Arabia. Most leading energy stocks such as Exxon Mobil Corp (NYSE:XOM), Chevron Corp (NYSE:CVX), ConocoPhillips (NYSE:COP), BP Plc (NYSE:BP) and others are all trading sharply higher today on the back of this news. While crude oil and most energy stocks are strong today it should be known that the longer term trend is still down. In fact, the Energy Select SPDR Fund (NYSEARCA:XLE) peaked in June 2014 at $101.52 a share. Since that high pivot, the popular ETF has been making lower highs on the charts. It is now trading at $62.66 a share. The next major resistance area for the XLF will be around the $68.00 level. That level is where the 50 and 200-week moving averages are currently at on the chart. There is also a pivot top resistance level in place from late April 2019. Traders should watch this key resistance level for a potential short trade or put option opportunity. Nick Santiago InTheMoneyStocks
Chart Signal: Natural Gas $UNG Tops Out As oil spiked higher on the disruption of Saudi oil, natural gas also got a sympathy spike. The major difference, natural gas tagged the daily 200 moving average and is currently putting in a bearish topping tail. This signals a near-term pull back in natural gas. Swing traders should look for a decline of at least 10% in the coming week or two. Gareth Soloway InTheMoneyStocks
Tomorrow’s FOMC Comments Will Move Gold Tomorrow afternoon, the Federal Open Market Committee (FOMC) will conclude its two day meeting. At this time, the central bank is expected to cut the Fed Funds Rate by 25 basis points to 1.75% – 2.00%. Traders and investors should note that this rate cut is already factored into the market. The FOMC statement could be more important to the market than the actual rate cut itself. Often, during a central bank announcement precious metals, bond yields, the U.S. Dollar Index (DXY) and equities will all be in play and that will likely be the case again tomorrow. Gold and the precious metals have been pulling back recently. Gold futures (GC) put in a short term pivot top on September 4, 2019 at $1566.20 an ounce. Since that high pivot gold futures have declined back down to 1512.00 an ounce. Should the FOMC sound a bit hawkish (less easy money) the gold market could retreat a little more. If the central bank comes out and is very dovish (more easy money) then gold could move back up to its old highs in the near term. So traders and investors will have to listen carefully to the statement and wording of the Federal Reserve. In the case of gold weakness tomorrow, traders should watch for major daily chart support around the $1450.00 level. Nick Santiago InTheMoneyStocks
