Coffee and DJIA Update, Stops Updated on NUGT and UCO

Coffee closed at its highest level of 2016, as has our JO position.   

 

 

On the chart above, in black we've shown possible overhead resistance.  We remain bullish coffee in the long term. 

The DJIA closed the week at its highest level of the year, though still down so far in 2016.  

Below is an updated look at the DJIA chart we've posted the past two weekends.  

The black lines are overhead resistance, the orange line is possible trend resistance, and the blue lines outline a large "rising wedge" pattern that's likely soon to break down.  Such a confluence of lines is not prudently ignored.

 

 

Next is a chart showing an extreme in at least one key sentiment reading, the CBOE (Chicago Board Of Exchange) put/call ratio.  The circles show points at which equities began material drops.  

 

The circles correspond to late last June, early August, early November, early February, and early March.  You can see for yourself on the DJIA chart above what happened after those dates, and we're of the mind that the same thing will happen again.
 

 

NUGT is up 237% from our entry on January 20th and has gone as high as +296% 

We last revised our NUGT stop on March 03 and now do so again, raising it to $50.00 on an intra-day basis.

 

UCO was also entered on January 20th and is up 53% from our entry.  We also last revised its stop on March 03, and now raise that stop another dollar to $7.50 on an intra-day basis.

Next week the U.S. Federal Reserve has a two-day meeting starting Tuesday, with the related announcement coming at 2PM EST on Wednesday.  The Bank Of Japan makes its next pronouncement on Tuesday, March 15.

 

 

 

 

 



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