Gold Price Exclusive Update

Our proprietary cycle indicator is UP.

To public readers of our updates, our cycle indicator is one of the most effective timing tool for traders and investors. It is not perfect, because periodically the market can be more volatile and can result in short term whipsaws. But overall, the cycle indicator provides us with a clear direction how we should be speculating.

Investors

During a major buy signal, investors can accumulate positions by cost averaging at cycle bottoms, ideally when prices are at or near the daily 200ema.

During a major sell signal, investors should be hedged or in cash.

Traders

Simply cost average in at cycle bottoms when prices are at or near the daily 200ema; and cost average out at cycle tops when prices are above the daily 50ema.

Gold sector is on long term SELL signal.

GLD is on short term sell signal.

GDX is on short term buy signal.

XGD.to is on short term sell signal.

GDXJ is on short term sell signal.

Analysis

Our ratio is on a new buy signal.

Trend is UP for the dollar, closing the week at a new high.

Trend is DOWN for gold stocks.

Trend is down for gold.

A potential inverted head & shoulder bottom is in progress.

GLD dropped to a new low this week while $HUI at a higher low, resulting in a divergence.

As we have observed over the years, divergences often occur at major tops and bottoms.

Summary

Long term – on SELL signal.

Short term – on mixed signals.

Gold sector cycle is UP.

$$$ We are now holding trading positions.

Disclosure

We do not offer predictions or forecasts for the markets. What you see here is our simple trading model which provides us the signals and set ups to be either long, short, or in cash at any given time. Entry points and stops are provided in real time to subscribers, therefore, this update may not reflect our current positions in the markets. Trade at your own discretion.

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