Gold Price Exclusive Update

Our proprietary cycle indicator is DOWN.

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 remains on long-term BUY at the end of November.

GLD is on short-term sell signal.

GDX is on short-term sell signal.

XGD.to is on short-term sell signal.

GDXJ is on short-term sell signal.

Analysis

Our ratio is on sell signal.

USD – on sell signal.

New low this week.

Gold prices tested the 200ema and bounced from support this week.

MACD has also turned up from the same oversold level as March.

The multi-month correction should be at completion.

The correction in GLD has established support and resistance within a down channel.

A break of resistance will confirm that the correction is complete.

$HUI has pulled back and bounced from the breakout point this week.

The divergence as noted in last week’s update has produce a bounce so far.

Divergences often occur at market tops and bottoms.

Summary

Long-term – on major BUY signal.

Short-term – on mixed signals.

Gold sector cycle is down.

The multi month correction is at or near completion.

$$$ We are holding long and short-term 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.