One more thought about JNUG for tomorrow... Watch out for trickiness.

While I do not model the small 5 waves down from the completed 4th which were modeled in this post as being the end of the motive 5th and final wave, I know that markets like to get tricky around the turns.  So I want to make a special point about this right now before anything happens.  In short, any move back up above the top rail should be considered a major breakout.  If it subsequently falls back through then its likely a false alarm.  But if it breaks above and stays above then I'm a big time buyer even if it gaps up.

If you do not catch the exact bottom, that is not important!  Don't say to yourself, "the train left the station without me".  This thing is already $2 lower than what I would have considered an outstanding price of $6.  Any purchase in the $4 range is going to be a huge winner.  So will $5 and $6 buy points.  The key is to buy a dip and not a peak, don't use margin (this thing has much built in leverage already) and don't invest your whole wad at once if you don't have a stomach for volatility.

I will begin buying this tomorrow if it makes a higher high than $4.12 which was the peak into the close.  That level represented the 50% fib from the intraday bottom at $3.64.  If it goes lower than $3.64, just let it finish waves 3,4 and 5 and then snap it up with both hands.

Gold is at a historical level of hatred right now: only 4% bulls. Wall St.talking heads are claiming that it has no place to go but down. Just another useless bit of drivel from yet another public figure with a Buckeroo Banzai-esque name.   I don't think a small rally fixes the negative sentiment in gold.  It has been getting killed while other asset classes have been soaring. When those other things begin to sell, I think gold has to catch a bid.  Of course gut feeling and quoting unknowable fundamentals never tops the act of creating a chart model.  Tomorrow will be an important day for JNUG to either signal lower lows or to break out and begin heading up after having printed a failed 5th.

Bottom line: don't make the old trading mistake of thinking that the current trend will continue forever and that every bounce will be sold.  And when it starts running upward, don't find yourself selling too easily.  This was not just any old bottom being put in here.  It is a significant one. Make shorty feel the pain.