Loading ...Gold is Supported
Well here you go. My conclusion about what is happening with gold is positive. We are in a flag continuation pattern that clearly looks like it will resolve with another leg upward sometime in December. If this squares with anyone else viewpoint then let me know. Any negativity I was feeling about gold has now been dispelled and I shall be free to buy again whenever it touches on the lower support line. Hope this helps! 🙂
Pattern looks nice. I just fear we are still far above the moving averages long term ones I don’t think we touch the 200d for example but maybe the 150d?
Maybe morph into more of a flag rather than a pennant. But looks valid. My only cause for concern is gold has broken an up trend line and back tested for a few days and silver for one day. Both are now below 10d ma. I would like a longer consolidation so people’s attention spans move elsewhere, but alas.
Those are good points. Well we all know that such patterns can also break down in some cases so maybe that is where we will go. But its back to 3500 if that happens. For now, gold is trading by time rather than by price as it works its way towards the apex of the pattern. I wonder what would Plunger say?
Welcome to the Bright side Sir Farmer
Rambus also sees similar to what you 2 are seeing
a Consolidation Pattern
4 reversal points needed
1 2 and 3 are printed…as Rambus always says…4 is the toughest one to spot in real time.
It might be right about here as you chart suggests
cheers
Four reversal points? You mean off the support line? It’s interesting how we all have our own ways of charting but can still come to the same conclusions. I think I see what you mean and it works for me.
Farmer – great graph — please repost an updated version in another month or so. Thx
Thanks Kewl2, This one looks like its going to hold to the pattern for much of next month. For sure I will be updating it as we get closer since the strong months for metals beckon. See you then!