Gold And Silver Stocks Stage An Intraday Reversal

by Olivier on July 13, 2009

Sure enough I managed to sell my RGLD – Royal Gold position and a few MRGE – Merge Healthcare and UXG – US Gold shares into what now looks to be some kind of intermediate low. This kind of stuff happens. Hindsight is always 20/20. Nothing you can do about it. Making mistakes is simply part of the business. As a trader you turn the page and move on. No hard feelings.

A quick review of my portfolio positions:

  • BXI.V – Bio Extraction – Great action. Perfect close. See the chart I posted yesterday for BXI.V price targets.
  • WTM.TO – West Timmins Mining – Perfect chart. This one is a keeper.
  • VEN.TO – Ventana Gold – Drill results will tell the truth. I bought a bit more today.
  • MRGE – Merge Healthcare – I like the sector. MRGE should be one of the winners within the Healthcare IT sector. For more strong stocks in the healthcare sector check the sector overview chart I recently added to my public list.
  • UXG – US Gold – This looks like an intraday reversal. Let’s see if it is sustainable. Overall the stock looks like it is poised to break out to the upside soon.
  • AVL.TO – Avalon Rare Metals – The last few weeks the share price drifted lower on decreasing volume. That is a good sign. Still I’d like to see some action soon.

A few more observations:

  • RGLD – Royal Gold – I love the royalty concept. Long term readers of my website know that already. Then again, if a stock doesn’t make me money I get out. Overhead resistance has increased. The stock will have to fight through that supply. I am going to watch this from the sidelines. If the ascending triangle in the weekly chart is valid the stock will be able to move up and build pressure again. Then I will look to reenter.
  • DXO – DB Crude Oil Double Long ETN – This looks like some intermediate low has been carved out.
  • Gold + Silver – Looks like both could reverse from here. A move above 930 with gold and I would consider odds to be rather high we’re headed towards 1000$ again.
  • DGW – Duoyuan Global Water – A recent China IPO. A very interesting investment theme: Water + China. This one will be part of my ‘Water Sector Overview chart’.

Over the next weeks I will add several new sector overview charts. That will make it easier to watch the markets and will give you an even better idea what kind of stocks and sectors I monitor in the background.

Tomorrow is national holiday in France. I’ll be away and won’t be able to update the website.

Vive la France!


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