$Direxion Daily Gold Miners Index Bull 2X Shares (NUGT.US)$ ...
$Direxion Daily Gold Miners Index Bull 2X Shares (NUGT.US)$ if you look at this chart you don't need to know what economic events have transpired what political events have transpired what inflation was what CPI was what unemployment was who beat earnings who missed earnings. all of that daily riff Raff is ignored. if you buy when it's oversold which is the Blue line you made money, period.. plain and simple.
gold has gotten butchered since Trump was elected.
Bitcoin is taking off.
there's a term called entropy. energy is not created or destroyed it just transforms, changes shape in a closed system.
so what we've witnessed is money flowing from gold into Bitcoin it's really that simple because gold is viewed as risk off, and Bitcoin as risk on. when there's risk on money flows into Bitcoin when there is risk off money flows into gold.
and that's what we've witnessed compressed into a very short window and that's why gold has been hit extremely hard well this ETF is pegged to the miners so gold goes down there's a direct correlation to the mining companies their profits will be lower the stocks fall gold goes up you get the idea.
and gold will recover is the bottom line I don't know if it'll be this week or next week but it will recover why because we still have turmoil in the world we still have inflation in the world you still have governments around the world that own Gold by gold you still have the Federal reserve is the largest holder of gold and they're going to continue to buy gold.
so look at the chart forget all the daily riff Raff of what's going on in the market in the world and if you bought it every time it's touching this blue line you have made money it's called reduction to the ridiculous get rid of everything else and just focus on what you see and what I see is a buying opportunity here.
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36 yrs in the trenches, raised 100mil for start ups, syndicate ipo's, yrs on trading desk mkt maker.
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10baggerbamm OP : here's a longer-term chart and even when the trend is lower which ideally you don't want to buy and hold something when it is gradually trending lower but even when it's trending lower if you bought it when it touched the blue line you made a profit you couldn't get to an oversold point you got to the middle moving average which is the little purple line. but anyway you want to take out your ginsu knife and chop it or cut it or slice it this works so I don't know if this time it's going to recover to an overbought condition but it's going to go back to the moving average because statistically using Bollinger bands 90% of the time the stock will trade in between the high and the low band those are pretty good odds to bet on think of the casino if you could bet on the side of the casino and be right 9 out of 10 times would you do it?