Hi Everyone
GS continues with its breakout to the upside – Remember, I highlighted this last Tuesday (27th July). It was forming a Bull Flag / Pennant at the time and it broke out on Thursday. It then consolidated for a few days before making another decisive breakout today. The OVI has been positive throughout.
Time to ring-fence the trade and take some profit. Those of you in my Private Traders Club saw my strategy for this and will note my confidence in this trade, even on Friday during our Club Meeting. This is a nice breakout on decent volume following a volume consolidation. The 200 day moving average is hovering around $158.50, and I’ll be keeping a close eye on things. But right now we’re sitting pretty, and it’s been a delightfully simple setup, just the way I like it!.
Our GLD short trade was closed with a profit on the first half of the trade and breakeven on the second half of the trade as GLD recovers its poise. This is what happens when you manage your trades properly.
As you can see by now, and like I said last time, trading can be pretty straightforward if you wait for the obvious opportunities. You don’t need to overtrade. These ones have taken me minutes to find and execute. And if they go wrong I’m fully protected in GLD and I’ll be watching GS closely today.
Guy
To learn more and have access to the OVI visit my Private Traders Club area.