We entered long 100 shares of GLD at $135.50 on December 2, and i staggered the stoppes at $132.50 and $130.50. I wish I had never made the trade as both those stops have been blasted through. Take a look at the chart and you can see that GLD gapped from the $28 level as it blasted off. It has since been repelled from the $140 zone thrice and it may be awhile before it sees that level again. Do you see that huge red candlestick for yesterday and below it the large red volume tick? That is indicative of exhaustion selling, but we cant say until GLD turns back up. The stochastics are down and going down showing no sign of a momentum change. Infact the charts shows GLD to be in a firm downtrend and I don't look for a change until it touches it's 200 dma at the $125 zone. That is the zone at which I expect to reenter, but I don't trade on expectations, GLD must turn back up before I commit new money to it.
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