I am not a chart master but looking at the 1 year chart the trend is up. I am not a trader so I don't use monthly or weekly charts. I try and pick a good entry point with a target price in mind and I wait. Once I double I sell half and hold. Building a portfolio of free shares from several companies. There is nothing wrong with having a buy set at .10 but I would also have a buy set incase the stock begins to move up on you.
Looking at the chart I see .14 or .15 as the bottom of this move. As soon as Gold heads north again so will SLAM. I have been adding to my shares here.
With gold heading higher today, King World News interviewed legendary trader Jim Sinclair. When asked about the action in gold Sinclair stated, “We have to be right in front of a major move in gold. Today the gold market had all of the indications of what would be considered by the old-time traders (Bert Seligman & Jesse Livermore) as a major turn. This would be a sign to them that the bulls are gaining strength in the market, and given any excuse it will rise violently.”
November 18, 2010
Sinclair continues:
“The strategy now would not be to run after spikes and strength, but to begin to take in those periods which will certainly come, of weakness that exist during the day. This is really the first time since we came off of the high, that it’s starting to show a character of wanting to make a new high.
The chorus of complaints about the Fed and their adoption of QE, I call that the backfire of MOPE. You have so many of the new guys convinced that yes, the economy is recovering but not really that fast, and there is no inflation anywhere. Then why in the world is Bernanke going to a $600 billion project which is a rescue plan that comes up during a period of crisis? They can’t understand it.
The other thing is the belief that the financial institutions balance sheets have made such great progress. The bottom line is he (Bernanke) sees what they don’t see. The stumped recovery we’ve had is in fact an economy headed down.
Getting back to gold, this is late 1979. It’s got all of the characteristics of late 1979. If people will go back and look at the long chart they’ll see that there was one violent flip right before it took off and never looked back. And it’s getting very close to that point now. I think what you have seen is a major shake of the tree right before gold takes off.”
Have you buy at .10 waiting but don't get caught having to chase the price higher.
