[pcabc]

I was hoping you could comment on KL in terms of what you would watch for now in terms of an entry. It is pulling back close to its 10 sma  on the weekly. It will be interesting to see if it reaches its 10 sma and if it  does whether  it holds. Most are assuming FOMC news will cause miners and gold/silver to run higher so maybe it does not even reach the 10 sma. 

As you know from my journal thread, KL is one of my open positions currently. Todays sell off on large volume is not ideal, as in the method we want pullbacks to be on lower volume, not higher. So it is giving me pause about the position, unless it can recover quickly and strongly before the end of the week.

In the method we don't trade on what we think will happen with regards to news etc, but instead look for signs of what's actually happening in the price action and volume etc, and the broad market and sector too. So people might be assuming that the news will cause miners and gold/silver to run higher. But always manage your risk first, as the market is never wrong. And even strong sectors can have pullbacks and consolidations that can last for multiple months.

Thanks Isa,
Volume on KL does not look good today and it is tanking badly now down 10%. And everyone who said FOMC news would result in a big rally in gold/silver/miners was wrong so yes, trading on opinions, news etc is of no help. A good lesson for me to tune out all the know-it-all opinions.
Brian

I've had one position up 30% today and many down 4 or even 8%.  It feels like it has been pandemonium today.  Hopefully the large sells offs will bounce back and probably the large gains fall back somewhat but it will be very interesting to see how tomorrow goes? I've got wide stops and I can't realistically move them until tomorrow evening so I can't tighten them right at this moment.  Historically I've found tight stops get shaken out too much.  It will be interesting to see what the breadth looks like.