Gold – The Next Trending Move

Gold closed below both the 200 day MA and the 10 day MA on Friday to signal the daily cycle decline.   Gold should go on to turn the 10 day MA lower as it seeks out its DCL.

But today, I want to focus in on the big picture.

Gold is in a monthly triangle consolidation. In a triangle consolidation the cycle low can migrate to the apex of the triangle. A break out of this multi- year consolidation should result in a powerful trending move.

6 thoughts on “Gold – The Next Trending Move

  1. I enjoy reading your reports, thank you; however, I did not understand this latest statement, ” In a triangle consolidation the cycle low can migrate to the apex of the triangle”. Are you suggesting a strong downtrend perhaps ?

    • cento100,
      Normally the cycle low is the lowest point following the cycle peak. However, triangle consolidations can cause the cycle low to migrate to the apex of the consolidation. A bullish break out of this multi-year will indicate that the cycle low migrated to the apex. A bearish break out of the multi-year consolidation will continue the yearly cycle decline.

    • Wait for the breakout.

      If down, wait around.
      If up, back up the truck.

      Expecting up b/c of other factors suggesting a rise soon. Could easily be a head fake downward at first, then a quick reversal up. Gold doesn’t give its secrets readily. That would be too easy. If/when crypto collapses, metals should rally hard imo, especially silver. Less competition for speculative metals stocks.

      Just an opinion, not a financial guru by any means.

    • Best guess — higher.
      The dollar’s weekly cycle is in its timing band for a ICL.
      The yearly dollar cycle is in its timing band for a YCL.
      The Miners are only on week 4 of a new intermediate cycle.
      We need to watch for a left translated daily cycle to send the dollar into its ICL/YCL.
      Possible trigger event – next week’s FOMC meeting.

  2. There is some talk that the decline of PM should continue but….the IC of euro is getting late, week 31 i think next week, while the COT reports for euro and dxy are very very bullish and bearish respectively.

    Thus, would it be more likely that after FOMC the euro to start a new IC, hence dxy its IC decline, s-o that PM to accelerate UPWARDS FOR MANY WEEKS AT LEAST?

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