On Thursday Night, I discussed the small bear pennant and this
did result in a relatively quick breakdown and reversal within a 4
hour span. Following the NFP data, Gold managed to break
above (and successfully backtest) a small downtrend line on its 60
minute chart (also broke the downward symmetry). On the 240
minute chart I have show a parallel channel as well as a small
congestion zone on the 60 minute chart.
The daily chart rallied back to its 9 day EMA (after getting
extremely stretched). The Weekly chart shows a hammer candle
that needs to show follow through back above previous lows (1180's)
and then downtrend line and MA's overhead. The weekly has some
positive divergence in place.
I also show the monthly chart with downtrend line.
Overall strong volume reversal on Friday portending more upside
over time...would prefer to see some of the intraday charts unwind
overbought BUT this can extend further prior. So if long trail
stops upward in accordance with your objectives.
very short term Gold futures got too extended on Friday, price
got to far from the 5 and 9 EMA, traders could have shorted GC at
1176.8 off that candle with a target at least at the 5 EMA for a
quick trade, trade would be about $1000 with one GC
contract.
that method is discussed in that video where I show this on the
ES 15 min futures, but the concept works on any time frame, it's
simply price action, you get clear triggers when price gets too far
away from the 9 EMA
follow up to the 240 min GC chart from last night, pulled back
from that setup as price was too far extended from the 5 and 9 EMA
(was a heck of a short entry for a trade but I didn't catch it
myself). The question now is was Friday a major reversal or
not, if price retraces more than 50% of Friday's large candle, that
would be a warning, clearly it's not close to doing that yet and
not even a 38% retrace yet, anyway will be watching to see how it
does.
pm stocks are slightly down pre market, GDX down -0.30 cents
Gold Futures Views
Posted by steve on 8th of Nov 2014 at 01:45 pm
On Thursday Night, I discussed the small bear pennant and this did result in a relatively quick breakdown and reversal within a 4 hour span. Following the NFP data, Gold managed to break above (and successfully backtest) a small downtrend line on its 60 minute chart (also broke the downward symmetry). On the 240 minute chart I have show a parallel channel as well as a small congestion zone on the 60 minute chart.
The daily chart rallied back to its 9 day EMA (after getting extremely stretched). The Weekly chart shows a hammer candle that needs to show follow through back above previous lows (1180's) and then downtrend line and MA's overhead. The weekly has some positive divergence in place.
I also show the monthly chart with downtrend line.
Overall strong volume reversal on Friday portending more upside over time...would prefer to see some of the intraday charts unwind overbought BUT this can extend further prior. So if long trail stops upward in accordance with your objectives.
very short term Gold futures
Posted by matt on 9th of Nov 2014 at 07:12 pm
very short term Gold futures got too extended on Friday, price got to far from the 5 and 9 EMA, traders could have shorted GC at 1176.8 off that candle with a target at least at the 5 EMA for a quick trade, trade would be about $1000 with one GC contract.
that method is discussed in that video where I show this on the ES 15 min futures, but the concept works on any time frame, it's simply price action, you get clear triggers when price gets too far away from the 9 EMA
CLICK HERE to watch the Video
follow up to the 240
Posted by matt on 10th of Nov 2014 at 09:27 am
follow up to the 240 min GC chart from last night, pulled back from that setup as price was too far extended from the 5 and 9 EMA (was a heck of a short entry for a trade but I didn't catch it myself). The question now is was Friday a major reversal or not, if price retraces more than 50% of Friday's large candle, that would be a warning, clearly it's not close to doing that yet and not even a 38% retrace yet, anyway will be watching to see how it does.
pm stocks are slightly down pre market, GDX down -0.30 cents
Gold Futures
Posted by praetor54 on 8th of Nov 2014 at 07:04 pm
Steve, what about the 1800 level that acted as support on three touches? Will it not act as resistance initially?
I believe your 1800 number
Posted by steve on 9th of Nov 2014 at 12:47 pm
I believe your 1800 number is a typo, if you meant 1180's then look at weekly chart and comments that I posted below the charts.