While waiting for more setups to form for swings, I went long the triple-long gold miner ETF NUGT this morning inside 12631 at $5.93 looking for an immediate pop.
I based the trade on two things:
1) The Bollinger Band analysis I discussed on Sunday in this post, and;
2) The fact that the miners were trading inversely again to stocks as momentum leaders like Tesla reversed lower.
Because the miners are still in established downtrends, I already locked in some daytrading gains in the $6.20-$6.35 range. However, I will likely swing the final piece of the trade if I see a strong close, targeting the upper daily chart Bollinger Band.
It will be interesting to see if the inverse relationship between the metals/miners and equities as a whole continues.
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