here are my thoughts, fwiw: GDX was not able to take out the top of that resistance (and recent gap) zone so that trade is still in play. as importantly, GLD traded red for pretty much the entire day and closed red so not only does that bode well for the GLD short, but it helps confirm sticking with the GDX short for now. as posted earlier, i did remove the shares of the DRN short that i added this morning but i’m keeping the rest of the position on for now as the SRS 60 min chart (and IYR/SPG) are still very constructive and the position is still above entry.
as far as the action in the broad market, i have to say that i am surprised at the strength of the move, especially in light of all the recent confirmed sell signals, including the last of the remaining 60 min uptrend lines making clean breakdown yesterday. however, as i’ve stated in the past, i prefer to trade individual stocks and sector etf vs. the broad market and most of the existing short trades are still looking good for now, regardless of the broad market rally today. remember, tomorrow is OPEX so volatility is to be expected. yesterday’s nearly vertical plunge (best viewed on the ES or NQ 60 min futures to show the continuous trading) followed by the near vertical ascent today clearly illustrates that. so for now, i’ll watch the action into the close tomorrow and early next week to see which way the market wants to go next as today’s rip just basically nullified yesterday’s dip (although i did note that neither the ES or NQ futures managed to take out yesterday’s highs while the SPX did and the NDX did not take out yesterday’s highs). pretty much a wash as far as the action goes for the last two days but i’d have to chalk one up for the bulls since for whatever reason, the bears were unable to follow-thru to yesterday’s 60 min pattern breakdowns. charts in a few.