With virtually all intermediate-term cycles pointing lower, we’ll look for defensive plays. The p midpoint resistance shown (157.36) is a good place to start, but this trade will require a ‘camouflage’ approach. (Note: In the future, I plan to offer straight trades –i.e., without camouflage — at ‘D’ targets if the opportunity should arise.) Accordingly, using the three-minute chart, I’ll recommend buying a multiple of four July 150 puts on the first downtrending ‘x’ trigger following GLD’s initial encounter with 157.36 on the way up. Alternatively, for those who favor a simpler approach, you can short 400 shares at 157.33, stop 157.41. _______ UPDATE (June 13, 7:18 p.m. EDT): Yesterday’s gap-up opening stopped out shorts from 157.33 for a theoretical loss of $32 on 400 shares (plus commissions). Shorting opportunities on the three-minute chart remain viable nonetheless, although I could find no appealing ones myself in the forest of mostly trendless bars (see inset, a fresh chart) that followed the opening. If you are able to get short using my instructions, please let me know in the chat room so that I can establish a tracking position for your further guidance.
