December 8, 2015
Trades & Tutorials
By Geoff Bysshe
A slide in US stocks, Chinese stocks and or crude oil could set up a low risk, big opportunity in TAN, the solar industry ETF.
As you’ll see in this video, TAN is fairly correlated Chinese stocks. It’s also tends to follow the ebbs and flows of crude oil prices, although the magnitude of the moves are different.
Therefore, with both China and crude oil suffering from massive declines in 2015 it is no surprise that TAN has also had a rough year.
However, last week TAN exhibited an unusual pattern. In the midst of forming what could be a triple bottom record trading volume occurred. On a weekly basis it set a record not hit seen since June of 2014.
This video looks at how to trade the bottoming pattern in TAN and which stocks are also worth trading based on the sector’s pattern.
If you’d like to be kept abreast of the latest important move in TAN and other ETF’s subscribe to our free daily newsletter here – Mish’s Daily.
