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Monday, August 9, 2021

Market Update Monday 8/9/2021 - seeing a little surprise shakeout in Oil and Metals

 Hope y'all had a good weekend.  

This morning seeing yet another little Monday morning shakeout - this time in Oil, and so some extent metals, and miners. Last week it was China. Seeing Hong Kong up (.40%) in pre-market. No mention of that by the overly dramatic lame stream media. 

I liked Oil and oil drillers on Friday, but this morning we're seeing the USO down 3%. 

$USO breaks 47.50 support 

Next level of support looks like $44, so the oil bull is far from broken. 

$GJX (S&P Energy) key support is 220 - at the breakout point. If that breaks I'll be looking to confirm the reversal with a big volume spike. 

Gold - I've been bearish, and bearish miners as well, as I laid out last week, and we saw miners crushed on Friday. Seeing Jr Miners down another 2.5% at the open, and I think it's funny that someone drove miners up above the 20 day moving average, and that triggered the bulls to start buying that level, only to have the rigged rally fall apart on a Friday.  

Here I am mocking the gold miner trade on Twitter: 

 There's a Jr. Gold miners chart located in my public stockcharts. I told folks to sell it right at the 50 day moving average when I alerted to that chart. Perfect trade! Find the link to the public charts area in the side menu. 

$GDXJ (jr miners) support is 42. Careful trading the 3X (leveraged) jr miners, if you dare... 

$GDXJ (another view)  I'm expecting a shakeout of the weak hands, followed by a powerful rally, but to be honest this trade scares me. All I can tell you is to "practice proper money management", so you can live to trade another day, if everything blows up in your face, which has been known to happen, when trading commodities (based...).

$SLV (Silver)  Metals have been consolidating for some time, and these sideways patterns tend to be difficult trades. The metals aren't broken anymore than the Oil trade is, just looks like another Monday morning shakeout. 

No seeing much movement anywhere else. 

Good luck this week, 


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