Why Charts Are Your Best Friend
Yesterday I loaded up KGC and RIO. Special thanks to dumb-ass Cramer for his predictions.
KGC up 5.8% for the day. Surprizingly gold is down to 759$ level.
RIO up 5.3% for the day. Lets see if it was a dead-cat bounce or time for some reversal.
Both were over-sold and due for the bounce and that is exactly what happened. I sold both of them today for a sweet 1-day profit. Can’t complain.
Today i bought the internet-giant Google at the close ($414.40). 5 day chart shows 11% drop. Time for reversal ??
GOOG chart tell an interesting story. Previously Google bottomed at 412$ in mid-March. Can this be the double bottom ? I think so. With such lower RSI and Stochs, Google makes up for a safer bet. However if Google can’t hold 400$, it could drop even furthur. I would put my stop loss at $399.