Posted: 05 Jul 2013 06:21 AM PDT

July 05, 2013 at 12:21 PM | written by Arthur Hill

Gold is medium-term oversold and ripe for a bounce, but the long-term trend remains down with a target in the $1000 area. There are two big moves defined by two sets of retracement lines on this chart. The first extends from the 2001 low to the 2011 high (±250 to ±1900). A normal 50-61.80% retracement of this advance would extend to the 900-1100 area. There is also potential support in the 1000 area from broken resistance and the February 2010 low (orange shading). Thus, 1000 is the long-term target for gold at this point.

Click this image for a live chart.

Medium-term, gold is oversold after a plunge from 1800 to 1200. Notice that 12-month RSI is near 30 for the first time since 1999. Oversold conditions typically occur in downtrends, not uptrends. Overbought conditions are typical for uptrends (green arrows). In addition to medium-term oversold conditions, gold is in a support zone marked by the 61.80% retracement and broken resistance from the December 2009 high. The combination of oversold conditions and support could give way to a bounce back towards the 1320-1350 area. The long-term downtrend, however, is expected to takeover at some point and the subsequent resumption would open the door to $1000, which might make Grover Cleveland happy.

Click this image for a live chart

Have a great weekend!
--Arthur Hill CMT

Jesse's Café Américain: Gold Daily and Silver Weekly Charts - Light ...

Posted: 30 Apr 2014 01:19 PM PDT

"There is not a crime, there is not a dodge, there is not a trick, there is not a swindle, there is not a vice, that does not live by secrecy."
Joseph Pulitzer
"The power which the moneyed interest can exercise, when concentrated under a single head and with our present system of currency, was sufficiently demonstrated in the struggle made by the Bank of the United States...It is one of the serious evils of our present system of banking that it enables one class of society, and that by no means a numerous one, by its control over the currency, to act injuriously upon the interests of all the others and to exercise more than its just proportion of influence in political affairs. The agricultural, the mechanical, and the laboring classes have little or no share in the direction of the great moneyed corporations."
Andrew Jackson, Farewell Address

The price of gold and silver were hit in the after hours taking gold down a bit from largely unchanged.

I have included a chart below that shows the two moving averages of 100 and 200 days, so you can see how 'channeled' gold has become just under 1300.

So we say goodby to April delivery. The big contract now is June.

Have a pleasant evening.

Nifty charts and latest updates: GOLD Chart analysis

Posted: 30 Apr 2014 09:42 AM PDT

All the contents of niftychartsandpatterns are for educational purposes only and are not Investment Advice or recommendations offered to any person(s) with respect to the purchase or sale of the stocks / futures. Niftychartsandpatterns shall not be held responsible for the actions of individuals, parties, or corporations taken in response to the ideas, thoughts, concepts or information presented in this blog. Hence all the visitors are requested to apply their prudence and consult their financial or investment adviser before acting on any of the Ideas in this blog.

Spot Chart | ChartWatchers: The Case for $1000 Gold - Articles - StockCharts.com | News2Gold

Spot Chart | ChartWatchers: The Case for $1000 <b>Gold</b> - Articles - StockCharts.com | News2Gold

0 Comment for "Spot Chart | ChartWatchers: The Case for $1000 Gold - Articles - StockCharts.com | News2Gold"

Popular Posts