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IT LOOK MORE AND MORE LIKE A GOLD TRADING BOTTOM -- ARE YOU IN?

|Includes: AAPL, AMZN, EXK, GILD, GLD, NetSuite Inc. (N), SAND

Two steps up; one step back. It is a pleasure to watch gold and silver stocks, one by one, revert to BUY SIGNALS in my trading systems. I chose not to sell them, because I believed in their long-term value -- and then watched them sink. My PROP1 indicator became 'the wagons circled'. They held up despite the selling. Now they are finding their way back into the BUY SIGNAL category.

Of course, when in doubt, view the monthly charts.

The RED SPEAR represents the short-term breathing process. PROP1 represents the long-term breathing process.

I have been bearish on Gilead Sciences for many months. But our monthly chart of GILD makes me think it is almost time to buy it. The chart is saying this is a pullback, a correction, in a bull move

What about a couple of great stocks in the market: Apple and Amazon? Why would anyone owning these want to sell them?

Indexes?

Not very bearish, are they? What about Sugar, one of my favorite holdings?

What about SAND?

It still looks like a BUY.

ABX? What not to like?

AHGP? You get the picture.

Hard not to be bullish.

We did a short by our OBOS indicator today. We were looking for Overbought issues that were breaking down -- or oversold indicators that were 'breaking up'.

Column1 Column2 Column3 Column4 Column5 Column6 Column7
10/20/16            
             
SYMBOL CLOSE SPEAR PROP OBOS ISSUE  
             
KOL 13.14 0.052 -1 81.214 Coal ETF  
CPHD 52.85 0.239 -1 81.053 Cepheid  
MTL 3.58 0.048 7 79.44 Mechel Open Joint Stock Company  
IGT 28.38 0.091 5 78.7 Intl Gaming Tech  
FANUY 31.63 0.071 5 78.679 Fanuc A  
CAB 62.28 0.2 -1 78.024 Cabela's Inc  
NFLX 123.35 0.585 5 77.877 Netflix  
USDCNY=X 6.744 0.001 -13 77.631 US Dollar/China Yuan  
PBR 12.01 0.114 5 77.537 Petrobas Petroleum Brasil  
DISH 59.18 0.272 5 76.669 Dish Network  
BBVA 6.79 0.019 -13 74.081 Banco Bilbao Argent SA  
SCHN 22.7 0.195 5 73.356 Schnitzer Steel Indust  
BBD 10.35 0.083 5 72.924 Banco Brandesco SA  
ISIL 22.08 0.089 -1 72.176 Intersil Corp  
USDGBP=X 0.816 0 -1 71.889 US Dollar/British Pound  
^BVSP 63,857.90 165.443 23 71.81 Sao Paolo Brazilian Index  
AMTD 36.64 0.124 -1 71.765 Ameritrade Corp  
DAKP 0.055 0.005 5 71.471 Dakota Plains Holdings  
BRZU 47.65 0.694 5 71.373 * Brazil Stocks Bullish ETF 3x (NYSE:O)  
ALGT 155.75 1.394 -7 71.338 Allegiant Travel  
EWZ 37.8 0.124 5 71.252 Brazil ETF $  
CSC 55.46 0.218 5 71.102 Computer Sciences  
UUP 25.41 0.004 5 71.091 US DOLLAR INDEX BULLISH ETF  
LBJ 113.96 1.396 23 71.076 * Latin America Stocks Bullish ETF 3x  
TSU 13.7 0.08 5 70.645 TIM Part (Tele Cellular)  
HAL 48.75 0.487 5 70.583 Haliburton  
USDEUR=X 0.915 0 7 70.314 US Dollar/Euro  
EUO 25.11 -0.009 5 70.178 Short Euro ETF <---
CMA 51.64 0.181 5 70.155 Comerica (banking)  
GGB 3.23 0.033 5 70.155 GERDAU S.A.  
UAL 56.57 0.254 5 70.128 United Continental Holdings  
             
             
             
             
             
FXB 119.64 -0.086 -19 29.949 British Pound ETF  
EURBRL=X 3.433 -0.006 -7 29.889 Euro/Brazilian Real  
OREX 2.78 -0.039 -25 29.859 Orexigen Pharmaceuticals  
BZQ 15.77 -0.255 -25 29.632 Short Brazil Shares ETF  
MNK 63.85 -0.469 -7 29.434 Mallinnkrodt (Biotech)  
VZ 49.14 -0.107 -7 29.317 Verizon Communications  
UDN 21.39 -0.006 -25 28.925 US DOLLAR INDEX BEARISH  
YELP 34.35 -0.71 -7 28.69 Yelp  
CUB 40.7 -0.255 -7 28.664 Cubic Corp  
N 101.63 0.423 -1 28.497 Netsuite <---
ASYS 4.43 -0.031 -25 28 AMTEC SYSTEMS  
CTS 16.51 -0.062 -7 27.583 CTS Corp.  
BX 23.62 -0.107 -25 27.047 The Blackstone Group  
WYDE 35.26 -0.01 -19 26.995 Short N.American High-Yield Credit ETF  
MUB 111.545 0.014 -1 26.851 I-Shares Muni Bond Index <---
ALNY 37.6 0.37 -19 26.81 Alnylam Pharma <---
PTM 9.82 -0.069 -1 26.244 Platimum ETF  
THLD 0.44 -0.03 -19 25.942 Threshold Pharma  
FDS 153.31 -0.855 -1 25.791 Factset Research  
CMTL 10.35 -0.057 -25 23.893 Comtech Telecom  
XOMA 5.49 -0.246 -25 23.244 XOMA  
GIS 61 -0.176 -1 22.908 General Mills  
FXS 109.36 -0.087 1 22.026 SWEDISH KRONA ETF  
JAKK 6.95 -0.052 -7 21.888 JAKKS Pacific  
BMI 31.73 -0.487 -19 21.286 Badger Meter  
AVEO 0.74 -0.004 -25 19.981 AVEO Pharmaceuticals  
HTZ 32.45 -0.644 -19 18.291 Hertz  

We really want to find an issue that has been sold off -- but whose SPEAR has turned back up AND/OR whose PROP is positive. We marked some of these issues. But we found one we like.

And in the monthly?

One could buy a Jan 2018 100 call option for about $1000. That is a pretty small risk on what could be a large return. IF the market does not implode. What ARE the odds on a market implosion? That's a different story, of course.

We think we are preparing a rally. Our DASHBOARD shows a pretty impressive gain in TREND strength. A 3-Day gain of +82 across the board.

TRADING TEMP is also recovering from the selling. Our BAROMETER seems to be bottoming.

We took a nice gain of 20+% in our VIX-4 TRADING SYSTEM.

Here's today's report:

10/20/16 Column1 Column2 Column3 Column4 Column5 Column6
             
SPEAR TRANSITIONS          
             
QUOTE CLOSE PROP SPEAR DIFF ISSUE    
HAKK 34.23 -5 30.86 * Cybersecurity Bullish ETF 2x (NO)
X 19.46 -13 0.76 US Steel Corp    
EXK 4.6 -1 0.142 Endeavor Silver  
NDLS 4.65 -19 0.1 Noodles    
VNR 0.781 1 0.09 Vanguard Natural Resources  
AXPW 0.012 5 0.007 AXION    
DAKP 0.055 5 0.005 Dakota Plains Holdings  
^VIX 13.79 -3 -0.554 CRB Volatility Index Daily  
             
EMV CURRENCY TRADING SYSTEM        
        NEW POS NEW POS  
SYMBOL CLOSE PROP POSITION TODAY YESTERDAY ISSUE
             
FXC 74.817 -7 Short *   Canadian Dollar ETF
INRRUB=X 0.934 -19 Short     Indian Rupee/Russian Ruble
USDRUB=X 62.465 -19 Short     USDollar/Russian Ruble
CHFJPY=X 104.688 -21 Long * Enter Long Swiss Franc/Japanese Yen
EURJPY=X 113.566 -21 Long *   Euro/Japanese Yen
INRCAD=X 0.02 -21 Long *   Indian Rupee/Canadian Dollar
USDCAD=X 1.323 -13 Long *   US Dollar/Canadian Dollar
             
* Not Confirmed by PROP          
             
             
             
             
VIX-4 3x ETF TRADING SYSTEM        
        NEW POS NEW POS  
SYMBOL CLOSE PROP POSITION TODAY YESTERDAY ISSUE
             
             
DGAZ 4.25 -19 Flat     * Natural Gas Bearish ETF 3x (NO)
UGAZ 49.93 5 Flat     * Natural Gas Bullish ETF 3x (NO)
             
SELL UGAZ: GAIN OF 20.20%          
             
VIX-8 3x ETF TRADING SYSTEM        
             
        NEW POS NEW POS  
SYMBOL CLOSE PROP POSITION TODAY YESTERDAY ISSUE
             
             
DPK 24.65 -13 Short Enter Short   * Developing Markets Bearish ETF 3x
MIDZ 28.78 -13 Short Enter Short   * Midcap Stock Bearish ETF 3x
SMDD 22.1 -13 Short Enter Short   * Midcap 400 Bearish ETF 3x
SQQQ 13.67 -13 Short Enter Short   * Nasdaq (NASDAQ:QQQ) Bearish ETF 3x
TECS 19.33 -13 Short Enter Short   * Technology Stock Bearish ETF 3 x
EDZ 22.12 -25 Short     * Emerging Markets Bearish ETF 3x
INDL 59.88 5 Long     * India Stocks Bullish ETF 3x
QQQ 117.71 -7 Long     Powershares Nasdaq $
SDOW 13.51 -19 Short     * Short Dow ETF 3x
TQQQ 125.14 -7 Long     * Nasdaq Bullish ETF 3x
UDOW 73.01 -1 Long     * UP DOW ETF 3x
YINN 18.71 -7 Long     * China Stock Bullish ETF 3x
RUSL 67.95 -5 Long Enter Long   * Russia Stocks Bullish ETF 3x
FAS 29.31 3 Flat Exit Long   *Financial Stocks Bullish ETF 3x
             
SALE. FAS, 3.83% gain          
             
             
             
VIX-5 EMV SPEAR TRADING SYSTEM        
             
        NEW POS NEW POS  
SYMBOL CLOSE PROP POSITION TODAY YESTERDAY ISSUE
             
             
^HUI 216.806 -1 Short Enter Short * Gold Stock Index Daily
SIL 41.74 -1 Short Enter Short * Silver International ETF
^VIX 13.79 -3 Flat     CRB Volatility Index Daily
AXPW 0.012 5 Long   Enter Long AXION
CDE 11.31 -1 Short * Enter Short Coeur D'Alene Daily
EXK 4.6 -1 Flat     Endeavor Silver
GDX 24.81 -1 Short * Enter Short Gold Miners ETF $
NDLS 4.65 -19 Flat     Noodles
VNR 0.781 1 Long     Vanguard Natural Resources
X 19.46 -13 Long *   US Steel Corp
             
* Not Confirmed by PROP          
             
             
VIX-SS TRADING SYSTEM          
             
        NEW POS NEW POS  
SYMBOL CLOSE PROP POSITION TODAY YESTERDAY ISSUE
             
             
HAIN 36.51 -13 Short     The Hain Celestial Group
AMSC 6.91 -17 Flat     American Superconductor
DUST 37.55 -5 Flat   Exit Long * Gold Miners Bearish ETF 3x
GASL 46.63 -1 Flat     * Natural Gas Stocks Bullish ETF 3x
GUSH 86.57 -1 Flat     * Oil and Gas Bullish ETF 3x
HLF 62.6 5 Flat     HERBALIFE
JDST 25.42 -5 Flat     * Junior Gold Miners Bearish ETF 3x
TTM 40.83 -3 Flat     Tata Motors
X 19.46 -13 Flat     US Steel Corp
AXPW 0.012 5 Long   Enter Long AXION
BBX 20.39 1 Long   Enter Long BBX Capitol Corporation
EXK 4.6 -1 Long   Enter Long Endeavor Silver
VNR 0.781 1 Long   Enter Long Vanguard Natural Resources

We're continuing to show SPEAR CHANGES. HAKK was a long change in the SPEAR -- but look what happened: a 2-day SPEAR, meaning HAKK is probably skipping its LONG PERIOD and will be down again -- at least this is what we are predicting.

EXK seems solid -- this is a BUY SIGNAL, EMV SPEAR. Note: PROP is positive.

VIX is going down. Although PROP1 is still bullish -- which gives pause.

For those of you who like trading penny stocks, we have a couple tonight.

A lot to digest, I know.

Best fortune.

MJC, CGTS

Disclosure: I am/we are long SAND.