Iamgold has pulled back to its 38.2% Fibonacci Retracement level. Personally I’m not very good at swing trading gold and silver but I wanted to make you aware of the Fibonacci Retracement setup. I did a stock trading lesson on Fibonacci Retracements here.
Iamgold Corporation is a Toronto-based international gold producer that has an annual production of approximately 800,000 ounces of gold from operations in North America, South America, and West Africa.
A pullback is taking place, which may present an opportunity for an entry off the 38.2% retracement level. There is a very little resistance above the current price.
Zions Bancorporation stock has pulled back to the 38.2% Fibonacci retracement level and looks to be attracting buyers off this level.
Compared to an average industry price book ratio of 1.63, ZION is valuated rather cheaply. On top of this, ZION is cheaper than 87% of the companies listed in the same industry. The low PEG Ratio indicates a rather cheap valuation of the company.
With a Price/Earnings Ratio of 19.86, ZION is valued on the expensive side.
Measured over the past 5 years, ZION shows a very strong growth in EPS. The EPS has been growing by 27.95% on average per year.
Zions Bancorporation Stock
In addition to the 38.2% Fibonacci retracement, the Effective Volume study shows that large players volume has been slowly rising.
Zions Bancorporation stock has a decent setup pattern. Prices have been consolidating lately. There is a resistance zone just above the current price starting at $44.67. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 43.77, a stop order could be placed below this zone.
The SPY chart has formed an inverted hammer which confirms some type of retracement is underway. The long upper-shadow shows selling and distribution into the upward move.
Will this be another headfake like what happened on the Russell 2000? I have added Fibonacci retracement levels on the chart and the important zone to watch is 242.50 down to 242. We want to see if the previous resistance of the uptrend channel becomes support.
The RSI shows that SPY is overbought as it kissed the 70 level and is now falling which also suggests a retracement is underway.
I took a long entry today in NUGT on a 38.2% Fibonacci retracement. I booked profits in NUGT last week and was a bit bummed as I watched it go higher and higher. Then, a miracle happened and we had a huge pullback today on the ADP job report today. NUGT set up right into a 38.2% retracement.
Even if the non-farm payrolls report tomorrow is a solid number and gold goes even lower, I’m long gold for “bigger picture” reasons.