The top indicator on marketguy's chart is the Chaikin
Oscillator, which is the MACD of the Accumulation/Distribution
line. Looks to be a good indicator to show that at the upper
extremes of that indicator, GLD soon sold off after reaching that
level. Here's a stockcharts.com link to their page that
explains and shows examples of the indicator:
But although there is also some neg. divergence on the daily and
weekly RSI, it's only a dollar below the recent highs of just under
$119. Would want to see some more confirmation from the
stochastics, a MA cross and/or trendline break, and the most
important indicator, price...to follow and drop more than it has so
far, to go short or buy puts. With the way this market's been
moving, and the increasing volatility in the currencies as well,
there could be a huge gap down or up in a day like last week or
yesterday.
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Chaiken Oscillator
Gold/GLD
Posted by sonia on 11th of May 2010 at 04:58 am
The top indicator on marketguy's chart is the Chaikin Oscillator, which is the MACD of the Accumulation/Distribution line. Looks to be a good indicator to show that at the upper extremes of that indicator, GLD soon sold off after reaching that level. Here's a stockcharts.com link to their page that explains and shows examples of the indicator:
http://stockcharts.com/help/doku.php?id=chart_school:technical_indicators:chaikin_oscillator
But although there is also some neg. divergence on the daily and weekly RSI, it's only a dollar below the recent highs of just under $119. Would want to see some more confirmation from the stochastics, a MA cross and/or trendline break, and the most important indicator, price...to follow and drop more than it has so far, to go short or buy puts. With the way this market's been moving, and the increasing volatility in the currencies as well, there could be a huge gap down or up in a day like last week or yesterday.