Need REMX to make bullish reversalI have bearish bias on $DXY for the moment, and I need $REMX to make bullish reversal, for me to build several long positions on $AUDUSD.
REMX trade ideas
A nice ride up the hill.I have spent some time looking at this chart given the recent excitement around Rare Earth metals. I am a huge fan of metals in general, so I hope that doesn’t get in the way of my opinion. I have thrown a few other indicators at this chart before I arrived at this position. Please let me know if you agree or disagree with my thoughts about this. I am here to learn and trade thoughts.
Given that USA tariffs are still standing with China, Rare Earth Metals (REMs) retaliatory tariffs are a logical response from China. China dominates this trade across the world. REMs are a strategic metal for just about all manufactured electronics. As Jim Rickards has pointed out in his books, currency wars lead to trade wars and trade wars lead to hot wars. The USA and China are currently in the first wave of the trade war with no significant counterpunch from China…yet.
Now let us look at the chart. I used the Fibo for general reference here. You can see it is more of a general guide than a solid behavior. However, there is enough relevance to include it. Rather than talk about extensions I will refer to the colors and the respective support/resistance line. The primary take-a-way is that this price has bounced off the support or bottom of the grey bar and has not yet tested the resistance line where the blue and grey bars meet, but it will soon.
The volume for this stock is a result of articles published recently related to the stuff I mentioned above. Fear is a great motivator. Now that the initial pump is out of the way, life and visibility have been breathed into this stock. In other words, it is on a lot of peoples radar just waiting for more news on REMs. You can also see that people have not been selling at the price remain at the resistance level represented by the thick horizontal bar.
Next let us check out the MACD. We have momentum pushing this stock higher with lots of green and no sign of cresting lines. The likelihood of a reversal in the short term 7-10 days is very small. But I don’t have a quantifiable method for determining that probability. Leave a comment if you have one.
The trend is my friend! I see an ascending triangle forming with lots of pressure to the upside. This is a very good signal for a price breakout. I don’t thing the pattern will continue much further into the corner because of all the pressure. I think it will make a move upwards next week and test the 17.32 mark around the 4th of July. Coincidentally, there are several political announcements that are expected to be made by the POTUS around the 4th of July. Checkout POTUS’s Twitter and search for the 4th. However, there is always the chance for a breakdown. If that were to occur, I see it happening later in the month. Perhaps a truce is called on the trade war. Who knows, but if it does happen, we are going to test 12.92 very fast. Perhaps even faster than the line I have drawn.
Also worth pointing out the 52 week high is 24.89 and the low is 13.05. given all I have mentioned above, I believe this stock has bottomed already.
In short, I think there is some head room on this stock to reach 17.32. Should that occur I will reevaluate my position. It may be poised for the moon it may not be, but I think it will be a nice easy ride up for the next month.
Love Voltron's hugesack
ready, set .....launching.....aapl should get hurt by supply disruption anytime now, soxx can be very sensitive... QQQ should move lowering ... Trump thinks he is the only one holding good cards
$REMX looking for a bounce here from tightening wedge.Could be a good bounce coming from this tight wedge here.
REMX (rare earth) - long opportunity once breakout happensWait till REMX breaks the descending red trendline and CMF starts heading positive. The vitals don't look great under the hood yet... but the stop is very nice just under that green multi-year support trendline.
Rare Earth Metal ETF Could Show Explosive Upside BreakoutREMX Van Eck Vector's Rare Earth Strategic Metals ETF,
rose over 3 % today, making it's gain in May now over 6 %,
while the Dow comparatively is down 6 % for the month.
That type of bullish divergence means something very bullish is going on under the radar
that market participants are recognizing, and thus want to own , and accumulate.
China controls 70 % of the market in Yttrium, Y on the Periodic Table
a rare earth metal,which is an important part of batteries used for smart phones.
According to a very fascinating piece in Barrons.com online,
China could now use it's leverage in this rare earth metal, Y
to cut, and limit worldwide exports of Yttrium, in the trade war with the US.
Chart shows a 50 % decline from 32 to 16.
And recently it broke thru 16, to apparently start yet another leg down.
However REMX has been rallying back towards its breakdown point at 16 this month,
with above average volume accompanying the move.
A rise back above 16 in REMX would confirm a "false breakdown"
and set the stage for an unexpected and thus bullish reversal,
the kind which could be explosive to the upside,if short's start covering their bets,
and China starts to massively limit it's exports of Yttrium to the rest of the world.
Watch REMX for a very speculative play,
high risk, yet with... very high potential return.
REMX Last 15.34
THE_UNWIND
5/29/19
NEW YORK
Long Term Buy Rare Earth MetalsThis trade is based on the rising tensions between China and US,
China is out of its tariffs card and may resort to other retaliation options.
At this time, rare earth metal production is dominated by china, and some of these metals are essential for electronics, magnets, etc...
If china resorts to restrict the export of these metals then REMX ETF (a basket of rare earth metal shares, 30% chinese and ~25% AUssie, etc...) will shoot, as it did in 2011 when china played on this card against Japan.
AM unsure about levels of support and targets, but it is recommended to buy this ETF for long term.
Another recommendation is to look for Neodymium metal specifically, as its demand will rise with electric cars and its use in its engines' magnets, e.g.: Nolans mine project etc... (ARU ASX)
REMX - CCI at point where upward movement occurs historicallyVan Eck Precious Metals is showing a CCI entry point for potential short-term to medium hold. I remain neutral and await more volume or price confirmation.
VanEck Vectors Rare Earth/Strategic Metals ETF (NYSEMKT:REMX), a tiny ETF with only $57 million in net assets, which emulates the holdings and performance of the MVIS Global Rare Earth/Strategic Metals Index.
REMX time to bounce?I decided to rebuy into my previous long term loss- REMX
www.reuters.com
we declined 20% from the trendline (typical decline)
I am not happy with technicals for this trade, pure fundamentals only...
rmex - getting interestingLikely bounce to upper part of fib (and beyond) but vol requires some cooperation
