JNUG short term swings
Updated
JNUG has now established a reactionary trading channel on 15 time frame within its larger daily channel. I would expect a test of 14.90 range to be a given but it may congest prices to mimic Feb 12th & 13th eventually testing the $15 area before making a move either way
An upside break of channel line b would lead to test of 14.90-$15, line a, and an eventual run to upper channel 1. $15 was fairly strong support s may need force or time to get through it if it does. One could tighten stops , take partial profits at that point but with the break down of larger daily channel and high volume support back into it, prices could eventually run to upper daily channel (near $22) but trailing stops would be required.
A downside break of channel c would likely lead to channel 2 since very little support between here and there, but a test of line 2 would be safe swing entry with easy stops, even if just for back test of breakdown. Shakeouts are always a possibility and global news disrupts gold pricing could cause false moves either way so being diligent about factors, and honoring stops is a must.
Either scenario, channel lines should act as critical pivot points for buys and sells.
One could take long swing trade on retest of line c with reversal confirmation and tight stops. Note : A retest of channel line b with a denial and return to channel line C and then a lower high, should be taken as a warning for longs.
One could enter DUST on breakdown of channel c, again with stops.
Confirmation for conservative trades and channel lines touches for aggressive trades. Always honor stops.
This is short term trade scenario and swing chart and I use Gold as proxy for all entries and exits.
* This is not investment advice , only possible scenarios.
An upside break of channel line b would lead to test of 14.90-$15, line a, and an eventual run to upper channel 1. $15 was fairly strong support s may need force or time to get through it if it does. One could tighten stops , take partial profits at that point but with the break down of larger daily channel and high volume support back into it, prices could eventually run to upper daily channel (near $22) but trailing stops would be required.
A downside break of channel c would likely lead to channel 2 since very little support between here and there, but a test of line 2 would be safe swing entry with easy stops, even if just for back test of breakdown. Shakeouts are always a possibility and global news disrupts gold pricing could cause false moves either way so being diligent about factors, and honoring stops is a must.
Either scenario, channel lines should act as critical pivot points for buys and sells.
One could take long swing trade on retest of line c with reversal confirmation and tight stops. Note : A retest of channel line b with a denial and return to channel line C and then a lower high, should be taken as a warning for longs.
One could enter DUST on breakdown of channel c, again with stops.
Confirmation for conservative trades and channel lines touches for aggressive trades. Always honor stops.
This is short term trade scenario and swing chart and I use Gold as proxy for all entries and exits.
* This is not investment advice , only possible scenarios.
Note
Prior channel trendline trying to hold at 13.60 but break of that and lower channel target.Note
Trying to hold support here built from Dec 11 "W" bottom break and Feb 7 congestion zone. May get a bounce to trendline 13.57 area or may continue descent all depends on market factors and GOLD. While I believe GOLD has more downside it may achieve that overnight and rally in the morning taking JNUG with it. there is still a good possibility JNUG could see lower channel (and I think it will with one more violent selling drop.) but it is at support and descent has become too steep to sustain for too long, Gold could back test 1336 area and JNUG appears to be forming a falling wedge pattern which could break to upside and rally to Resistance points with roughly a $1.50 upside potential gain IF and where it breaks from wedge, so one needs to be diligent and quick to take opportunities as they appear. Note
Sipport zone has held, Broke from rising wedge as mentioned above, trade taken, stops moved with support points.Note
Has run right to lower channel line, may pause or pull back . Stops close. A move into channel would be good sign for longs and likely allow $1.50 targetNote
Closed trade for fair gain on channel test and denial. Dollar has broken 90, headed to 90.10-90.20 1rst resistance bit I think it's headed to weekly trendline. Ill be looking to enter DUST for trade. Post to followNote
And gold backtested 1336 as posted above, for the rally in JNUG and was denied therre as well. Another logical sell point.Note
Bouncing off lower channel as predicted on Feb 20. May only be bounce but easy risk/ reward entry for me. Stops below channel.Note
Closed for $360 gain.
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