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Paul Mosgovoy
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Truth is timeless: “Markets never change” – Jesse Livermore, 1923 The early masters, Livermore, Wyckoff and Loeb isolated themselves from the crowd and crowd thinking. None of them ever graduated high-school and yet they each became legends in the market. Their techniques have been time-tested.... More
  • DUST: Looks To Continue The Trend 2 comments
    Jun 6, 2014 9:47 AM | about stocks: DUST

    The pre-market post indicated that the Market Vectors Daily Gold Miner ETF (NYSEARCA:GDX) was at a confluence of resistance.

    This morning's action in both GDX and the Direxion Daily Gold Miner Bear 3X ETF (NYSEARCA:DUST) indicate that the test may be complete and that DUST is now continuing its up-trend.

    At this point, just 12-minutes into the day, DUST is rising briskly.

    This ease of movement indicates that the test is complete.

    (click to enlarge)DUST Daily Chart

    Chart by TeleChart

    Disclosure: I am long DUST.

    Stocks: DUST
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Comments (2)
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  • SpikerLexus
    , contributor
    Comments (6) | Send Message
     
    $DUST, I also see this as a prudent play right now. $NUGT had it`s small reversal breakout and couldn`t continue to hold the uptrend. Today`s close was a bearish harami cross for $NUGT and that says a lot for next weeks move in the the gold miners sector overall.
    6 Jun 2014, 11:36 PM Reply Like
  • Paul Mosgovoy
    , contributor
    Comments (119) | Send Message
     
    Author’s reply » Thank you for the heads-up on the candle formation.

     

    From a bar-chart perspective on a weekly basis, what looks like a reversal is actually an "inside week".

     

    Volume also declined for the week. In Wyckoff terms, this is bearish behavior. Volume increasing on the prior down week and decreasing on the test.

     

    One can never be sure in the markets. However, I would rather be positioned short (long DUST) now, than have to "chase" the market on Monday morning.

     

    Thanks,

     

    Paul
    7 Jun 2014, 10:18 AM Reply Like
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