Stock Market Commentary by full-time trader and best selling author Bob Kudla AKA "BobLovesHawaii"
Thursday, November 4, 2010
As good as GOLD
If you believe in the gold and gold miner story as I do, a stock you should consider owning is GOLD. This is one of my trading miners and I posted my play last week. Today, I closed out my credit put spread to make room for some more margin to buy silver, but still own my December calls. Looking at the chart, GOLD looks very constructive. The stock is making a series of higher highs and lows, there is a uptrending support line that has held twice, and today it gapped up and over its 50 EMA and held. At a minimum, I expect a move to fill the gap above it. Personally, I see new highs in its future.
Subscribe to:
Post Comments (Atom)
Bob, DNN reported a loss of $9.52 million in Q3. I'm just wondering whether you'd regard this as a buying opportunity? TIA
ReplyDeleteI do, it is all about the price of the metal, there is an imbalance between supply and demand coming and it favors the miners. Being outside the U.S. doesn't hurt. Scale in, you should be fine.
ReplyDelete