NUGT Long Entry & Trade Setup

NUGT (3x long gold miners ETF) will be added as an AGGRESSIVE long trade here in anticipation of a breakout in GDX above the falling wedge pattern & the 13.34ish resistance level as well as a breakdown the $USD (see EUR/USD 4-hour chart). Current price in NUGT is 22.97 although as usual, I'm using the chart of the non-leveraged (1x) GDX to time my entries & exits on this trade.

My first profit target is the T1 zone which runs from about 13.80-14.00 on GDX with a second price target, T2, at 14.45 and a suggested stop on a daily close below 12.85 (all those levels are on GDX). A more conventional entry or an objective add-on to an partial position taken here in anticipation of a breakout in the miners would be to wait for a confirmed breakout of GDX above both this 60-minute downtrend line & the 13.34 resistance level AS WELL as a breakout of the EUR/USD above that steep descending price channel shown on the 4-hour chart above (most likely, both breakouts will occur in close proximity).

2015-11-18T14:19:00+00:00 Nov 18, 2015 2:19pm|Categories: Completed Trades - Long, Gold & Commodities|Tags: , |2 Comments


  1. Art November 18, 2015 2:21 pm at 2:21 pm

    I took GDX calls into Dec yesterday, so glad to see this Randy


    • rsotc November 18, 2015 3:04 pm at 3:04 pm

      G-luck on those GDX calls Art, although I don’t think that you’ll need luck on this one. Charts looking pretty solid. GLD also just printed a marginal new low with both the MACD & RSI on the daily chart printing higher lows (i.e.- bullish divergence). I think if GLD can move back above the 106 area soon, that could spark the next decent rally. Next few weeks should tell us a lot about where gold & the miners are going over the next few months.


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