My Ventana Gold Corp (VEN.TO) stop got filled yesterday afternoon as gold price took a dive (Figure 1) before the Bank of England minute today. However, the support at 10.50 look very promising as VEN.TO made a couple of successful long tail test of that level in the last 24 hours (Fig. 2). Seeing that the BoE has blatantly admitted to support the bandwagon on more quantitative easing (along with the FED), the bullishness in gold is written on the wall. As such, I am re-entering my VEN.TO position this morning with a smaller amount of shares. New stop is a close of VEN.TO below 10.50. Volatility is expected to be high. So I am giving it some intraday leeway to move. A hard stop is set at 10.20. Risk is thus (\$10.67 - \$10.20) * 250 = \$117.50 + \$9.90 commission = \$127.40 = 1.3% of account. For the record, previous entries were at 9.74 and 10.85. My stop at 10.50 was too tight. I am admittedly being quite aggressive here. Let's wait and see if it pays off.
[caption id="" align="aligncenter" width="570" caption="Gold"][/caption] [caption id="" align="aligncenter" width="570" caption="Ventana Gold Corp (VEN.TO)"]1[/caption]