[mucked4u]

I second the thanks. I too was wondering where these charts and groups were

[isatrader]

STN.TO (attached) has broken out of a 6 year base recently so looks like it would be a buy above 42.39 (recent high). Anything wrong that you can find with this stock in terms of a proper entry above recent highs?  Also attached a 2 hr chart. Thank you.

The breakout from the massive six year range in November is a good sign long term for this imo, as is a big base, so has potential for a strong Stage 2 advance. I can see a bit of an inverse head and shoulders pattern on the daily chart. But the breakout attempt today occurred on under average volume and the relative strength versus the S&P 500 didn't make a new high either, so you would need to see some follow through tomorrow with increased volume imo. As volume pickup and relative strength at new highs is always present in the best breakouts. 

           

[marry123]

STN.TO (attached) has broken out of a 6 year base recently so looks like it would be a buy above 42.39 (recent high). Anything wrong that you can find with this stock in terms of a proper entry above recent highs?  Also attached a 2 hr chart. Thank you.

The breakout from the massive six year range in November is a good sign long term for this imo, as is a big base, so has potential for a strong Stage 2 advance. I can see a bit of an inverse head and shoulders pattern on the daily chart. But the breakout attempt today occurred on under average volume and the relative strength versus the S&P 500 didn't make a new high either, so you would need to see some follow through tomorrow with increased volume imo. As volume pickup and relative strength at new highs is always present in the best breakouts. 

Thanks, Isa. The volume was the one nagging issue, as compared to the breakout in November of 2019 it looks anemic, but I will watch to see if perhaps it starts to come in this week.

[marry123]

Hi Isa,
I was hoping you could comment on silver and PAAS.
Many are commenting on how gold and silver are about to run much higher (they popped Thursday and Friday, especially silver) yet silver to me looks suspect on the weekly as it just got over its 30 MA which is declining since March and the weekly volume this week was very poor despite the price jump. Do you see red flags with silver?


Silver miners looks good based on the chart, I believe,  so I was wondering whether PAAS (chart looks good) could be a buy now or whether it should break its recent high of around 26 to enter long. Also, it seems you are focussing on gold miners not silver miners on your weekly watch list so wondering why you are not also focussing on silver miners (perhaps there is a red flag with these)?

Thanks for your thoughts.

[isatrader]

Hi Isa,
I was hoping you could comment on silver and PAAS.
Many are commenting on how gold and silver are about to run much higher (they popped Thursday and Friday, especially silver) yet silver to me looks suspect on the weekly as it just got over its 30 MA which is declining since March and the weekly volume this week was very poor despite the price jump. Do you see red flags with silver?

Silver miners looks good based on the chart, I believe,  so I was wondering whether PAAS (chart looks good) could be a buy now or whether it should break its recent high of around 26 to enter long. Also, it seems you are focussing on gold miners not silver miners on your weekly watch list so wondering why you are not also focussing on silver miners (perhaps there is a red flag with these)?

Thanks for your thoughts.

Hi marry123,

I did actually highlight PAAS in my twitter stream yesterday earlier in the day, as it was showing good relative strength and a volume spike on the breakout from its handle pattern, and also SSRM came up on the 12th, and will be appearing in the weekend watchlist also, as it broke out yesterday following earnings results. So PAAS and SSRM are two of the strongest looking silver stocks currently imo.

Gold is testing its high, and so the mining stocks all got a boost this week, but it hasn't made the continuation breakout yet, although the mining stocks ETFs of the GDX and GDXJ did breakout, although volume was only slightly better than average in those. So it's by no means confirmed yet and could easily reverse still, as volume needs to come in for these stocks to breakout convincingly.

Silver, is much more volatile than Gold, and also its recovery from the March lows hasn't been anywhere near as strong, and hence only a few silver miners have appeared in the watchlists, compared to numerous gold stocks. And Silver has a much stronger correlation to the stock market than Gold, and so if the market pulls back then silver miners tend to also. So generally they haven't been appearing in the watchlist as not many have been showing strong RS and making good quality patterns yet. But as we noted above, there are a few beginning to come through.

But it's also crucial to remember that risk management is the priority with any trade entry point. So a good general rule is not try to buy too extended from the breakout level, of which a max +5% above the pivot point is a good general rule, although it might be a little bit higher max for more volatile stocks like silver miners depending on their Average True Range (ATR).

       

[marry123]

Hi Isa,
I was hoping you could comment on silver and PAAS.
Many are commenting on how gold and silver are about to run much higher (they popped Thursday and Friday, especially silver) yet silver to me looks suspect on the weekly as it just got over its 30 MA which is declining since March and the weekly volume this week was very poor despite the price jump. Do you see red flags with silver?

Silver miners looks good based on the chart, I believe,  so I was wondering whether PAAS (chart looks good) could be a buy now or whether it should break its recent high of around 26 to enter long. Also, it seems you are focussing on gold miners not silver miners on your weekly watch list so wondering why you are not also focussing on silver miners (perhaps there is a red flag with these)?

Thanks for your thoughts.

Hi marry123,

I did actually highlight PAAS in my twitter stream yesterday earlier in the day, as it was showing good relative strength and a volume spike on the breakout from its handle pattern, and also SSRM came up on the 12th, and will be appearing in the weekend watchlist also, as it broke out yesterday following earnings results. So PAAS and SSRM are two of the strongest looking silver stocks currently imo.

Gold is testing its high, and so the mining stocks all got a boost this week, but it hasn't made the continuation breakout yet, although the mining stocks ETFs of the GDX and GDXJ did breakout, although volume was only slightly better than average in those. So it's by no means confirmed yet and could easily reverse still, as volume needs to come in for these stocks to breakout convincingly.

Silver, is much more volatile than Gold, and also its recovery from the March lows hasn't been anywhere near as strong, and hence only a few silver miners have appeared in the watchlists, compared to numerous gold stocks. And Silver has a much stronger correlation to the stock market than Gold, and so if the market pulls back then silver miners tend to also. So generally they haven't been appearing in the watchlist as not many have been showing strong RS and making good quality patterns yet. But as we noted above, there are a few beginning to come through.

But it's also crucial to remember that risk management is the priority with any trade entry point. So a good general rule is not try to buy too extended from the breakout level, of which a max +5% above the pivot point is a good general rule, although it might be a little bit higher max for more volatile stocks like silver miners depending on their Average True Range (ATR).

Thanks Isa, I will keep reading your posts re gold and silver miners and see if volume comes in, and also be mindful of not buying something that may have become quite extended from the proper buy point.

[marry123]

Hi Isa,
I was hoping you could comment on ONC.TO. It is a biotech and the chart looks very good, I think. It broke out on huge volume in January (ran from around 1.50-8), it pulled back and is now  back above a rising  30 MA and above the weekly cloud. Last week very good volume came in and it is not too far from the 30 MA. The only issue I can see is that the 50 MA is below the 150 MA on the daily still so maybe I would need to enter if the 50 MA gets above the 150 MA on the daily. 

Thanks for your thoughts.

[isatrader]

Hi Isa,
I was hoping you could comment on ONC.TO. It is a biotech and the chart looks very good, I think. It broke out on huge volume in January (ran from around 1.50-8), it pulled back and is now  back above a rising  30 MA and above the weekly cloud. Last week very good volume came in and it is not too far from the 30 MA. The only issue I can see is that the 50 MA is below the 150 MA on the daily still so maybe I would need to enter if the 50 MA gets above the 150 MA on the daily. 

Thanks for your thoughts.

Hi marry123,

Technically it is looking promising short term, with a volume pop and contraction on the recent early move, and so a close above $3ish would be a potential short term buy point. However, it's highly speculative so not something I'd consider personally, as the percentage distance of the -2x the 52 week ATR max stop loss that I use would be -49% below the current price, and I prefer for this figure to be more in the -10% range personally, as anything below that becomes exponentially more difficult to recover from. So is a reasonable short term setup if it breaks out, but extremely high risk imo as its average weekly range is around 25%.