AUY - BUY SIGNAL (minor trend) HOLD (major trend)
Although AUY has not technically given us a clear BUY SIGNAL just yet, I do believe this will occur tomorrow as GOLD's and Gold Stocks minor down trend seems to have bottomed and now looks to resume the major up trend higher. The fact is AUY has not given us a SELL SIGNAL for its major up trend that has been intact for nearly 6-7 months. However we did have a SELL SIGNAL 4-5 sessions ago for its minor down trend which looks to have bottomed. The fact is that AUY, despite being in a major up trend, its minor pull backs have been around -10% within this major up trend, which makes it harder to hold onto along the way up. After a strong bounce back up today, AUY is looking to continue its trend higher, likely going over its last 52 week high, over $14, assuming GOLD continues higher also of course. In terms of AUY's minor trend we have a BUY SIGNAL. The major up trend is still intact as AUY remains a HOLD. There is a small potential of seeing AUY cross below the 50 day MA for a session or two around $11-$11.50 but I doubt it will happen after today's move. This is just to show you how harder it is to take positions with volatile stocks. Despite being in a major up trend for the past 6-7 months, holding on to AUY would have been hard and risky as you would have to be able to take on around -10% fluctuations on pull backs.
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