Feeding off of pain and euphoria. Find me on Twitter @greenlander1
Wednesday, May 4, 2016
May 4 - Equities may be stabilizing, short GLD/ long USD
Equities may be forming a short term base but remains to be seen depending on the close. Finally some positive divergences on the hourly also but price action is very messy. Considering that we have broken intermediate trends in some indexes and daily selling spikes, I am in no hurry to go long but will take a modest position if things stabilize EOD/ tomorrow. A clear sign would be diminished volume and positive CCI/ RSI divergence.
This morning took on GLD short/ UUP long.
Not bad positive divergence in NYSE. Not quite actionable yet.
Overshoot and buying volume spike was basis for entering UUP long.
Miner weakness, dollar strength, potential for equities to bounce, and negative divergence the reason for GLD short. I like this one as it is possible to set the stop not too far above recent highs.