NAK of course has been the power move of the past 6 months. Recently it has been the pump story of Marin Katusa… However long before Marin’s pump play I revealed this stock as my special Hillary Hedge in the last election. Once it was announced that Frank Giustra was pumping $20 million into this company it didn’t take me long to instantly put 2+2 together and see this move as the next Clinton crony cash deal. After all Giustra had previously pumped over $100 mil into the Clinton slush fund in a pay for play uranium deal against the American people.

http://blog.ceo.ca/2015/08/10/alaskas-most-controversial-mining-project-welcomes-a-prominent-new-backer/

It was clear to me at least, that riding along Franks coattails was the best way I could mitigate the pain of seeing Hillary in the white house. At least the money gained would soothe watching the corruption at the top.
But, low and behold we witnessed the biggest upset in american political history and we now find ourselves smack dab in the most business friendly administration since Calvin Cooledge. Holy cow NAK is now squarely back in the saddle, back in the game. Granted this is for now just a permit play, but its been a heck of a ride.

I have traded it a few times on the way up increasing my holdings each time. So now I find myself asking where is the next level to sell. In other words can I use TA to read the tea leaves?

Let’s make this a group exercise. I am going to post a chart with some indicators and tell you what I see. I acted on these observations today by selling 2/3s of my position. That always makes me nervous because one of the biggest risks in a bull market is to be left standing on the loading dock watching the train pull away from you. (Such is the life of a trader)

Top to bottom:

#1 RSI- looks to be signaling exhaustion. Note how this muted bounce from the last pullback just does not seem to have the juice anymore. Plus the last 3 price spikes could not move the RSI to a significant new high.

#2 13 Day EMA. This has been a great indicator to follow as it has acted as support for the move. Its right there hanging on a cliff. One down tick from here and it indicates a sell.

#3 Volume. Note todays downside volume bar. Its expanding….not good.

#4 MACD Here is the biggie IMO. Look first at the Blue histograms of the past 4 peaks. The first 3 they retreated back to the zero line then held, however this current pullback they went negative and have stayed negative. Above this we see this same dynamic by observing the black line staying above the red line in pullbacks…. not with this one. Again reading the tea leaves here.

#5 CMF. Still bullish, but showing less strength than before. (still a positive)

#6 OBV & Stoch positive but note a series of lower highs.

Bottom line price can do anything but taken as a whole these indicators show momentum is waning. Does it have enough umph to make another thrust higher? Possibly, but I am going to bet maybe not. My goal is to reload at lower levels