I'm noticing quite a few bullish trade setups developing in the left-for-dead coal stocks. This video covers the charts of some of my favorites, along with general entry levels (buy triggers) and price targets. As discussed in the video, many of these coal stock are just coming off very strong runs, most into key resistance levels & as such, there is still some work to be done in order to firm up the bullish case for these stocks. While the coal stocks are extremely volatile, aggressive trades, the trade setups highlighted in this video offer very attractive R/R profiles. Note: The [...]
IWM 120 min Oct 20th I left town for the weekend on Friday & just returned last night and plan to post some updated market commentary as soon as I review the charts. I received several email questions & comments since Friday, along with a couple of donations as well a testimonial (thank you), all of which I plan to reply to as soon as I get my bearings. In looking at the 120-minute chart of the IWM that was posted before I left town, I noticed that the first suggested stop for the IWM short trade was incorrectly [...]
The following long trades will be removed from the Active Trades category into the Completed Trades where they will be archived for future reference. Many of these trades already hit one or more profit target while others fell short of the first target before exceeding their suggested stop level or any reasonable stop, if none suggested. ANR: Hit the second target back on Nov 18th and moved slightly higher before reversing and falling back below both T2 & T1, thereby exceeding any reasonable stop. NRP: Hit the first target back on Oct 29th and then moved well below the entry price, [...]
This video covers all 8 of the coal stocks in the Active Long Trades category as well as the Dow Jones US Coal Index ($DJUSCL). Following the discussion of the $DJUSCL, the coal stock trades are covered in the following order: ANR, BTU, CLD, CLF, KOL, NRP, RNO & WLT (for those wishing to skip forward to a particular trade).
NRP (Natural Resource Partners) hit the first target for a quick 4.5% gain on Tuesday and has traded through that level every day this week (including today). NRP is one of eight coal stocks in the Active Long Trades category, most of which are currently profitable and several of which have already hit one of the early profit targets. With the coal stocks making up over 1/3rd of the Active Long Trades at this time, the sector remains one of my favorites on the long-side. However, with the odds of a broad market sell-off elevated at this time, it remains prudent [...]
NRP will trigger a long entry on a break above this bullish falling wedge pattern. Daily chart shown, click here for live chart link.
NRP was added as a long setup a week ago but due to the overbought conditions, my preference was to see a pullback first before officially adding it as an active long trade. However, I advised to trade it as you saw fit so for those that took it, NRP hit the first target on Tuesday, just a couple of trading sessions after the setup was posted. Due to the fact that this trade no longer offers and objective entry until/unless we get a decent pullback (preferable to backtest the downtrend line), I am removing this setup (It was never an [...]