Precious Metals and Energy Trading ETF Report
So far this week has been generous with our move higher commodity ETFs, other than natural gas which is clearly in a bear market. Each of the commodity ETF trading charts below is at a different stage and it will be interesting to see how things fall in the coming weeks. ETFs trade is very useful when done properly and using multiple deadlines for the time your entry and exit points is crucial. My main focus is on daily and weekly charts, but I use a 30 minute intraday chart when it comes time to pick a real buy or sell points correctly. Below I have provided both weekly and daily chart so you can see how it looks completely different ETF same in both timeframes.
GLD ETF Trading – Daily and Weekly Trading Charts
Weekly chart a beautiful multi-month rally, but is now starting to go parabolic (straight up). When this happens I started building my stops so I can lock in maximum profits. Now, jump on the daily chart and notice that gold has rallied more than the previous action in early October. It looks overbought and ready for a pullback. Pullbacks in strong rallies like this tends to be hard and fast as stop orders get triggered sending prices to collapse in heavy volume. overall my opinion is 5 days to turn an investment in a down day. This is why I scale from the position when they are looking long in the tooth and ready to take profit.
SLV ETF Trading – Trading Daily and Weekly Charts
Silver has been conducted under the gold for several weeks, but made some nice ground this week. Gold and silver tend to trade together so that if gold pulls back I understand silver will. It was said at the weekly chart of silver looks ready to rocket higher for a week or so.
Trading USO Fund – Daily and Weekly Trading Charts
While gold and silver have been moving higher, the oil has been hanging out taking a breather. Both weekly and daily charts are aligned for a nice move higher if the trend charts and follow through on their patterns.We can take some actions traded in the next two days.
Ung Trading Fund – Daily and Weekly Trading Charts
Natural gas is really starting to slide. Ung Wednesday dipped below the September low of $ 8.94 cents a couple then moved to close. Generally is not bullish. This could be the start of a cascade of selling that is a sharp heavy volume of selling that lasts 3-5 days.
ETF Trading Commodity Conclusion:
To sum everything gold and silver ETFs are on fire as they continue to grow higher. Being ready for a sharp change is important if you want to lock in profits in one part of your position. Crude oil is taking its time, but looking ripe for a breakout higher. We continue to look for some action. Natural gas continues to get pushed down and it’s not looking good for higher prices soon. We are waiting for an opportunity shorting or oversold condition to play a 1-5 day bounce. Trading Quick Tip: If you have a position which has done well and has moved for an extended period of time be sure to draw some trend lines and tight your stop, or set a stop, according to a line close affinity. Sell some of your position (25-50%), to lock in profits and let the key position to continue to mature. If you take a withdrawal to a level of support (previous breakout level), you can buy back the rest of your position at a lower price.
