Today would have been an aggressive entry for a trade yes, with a firm stop under the gap now that it has acted as support. A safer entry would be to wait for the MACD to turn up and price to put in a higher low.
As you say it comes down to whether a rally in Gold can drag the gold stocks out of a market down turn. I've been expecting the DOW to bottom around the middle of this week, if this doesn't happen you don't need me to tell you there's probably more pain to come. Looking for the All Ords to follow although it's copped a bigger hit than the US. We are at support now and if this can hold we may rally back up to test the broken wedge over the coming weeks. It's all about support holding now.
Here's a couple of charts. Not crystal balls, just what I would look at.
All Ords
KCN
Just to let you know, I'm not trading KCN. I did test the waters with entries in a couple of goldies on friday and today but I have tight stops on these.
