Showing posts with label Support and Resistance. Show all posts
Showing posts with label Support and Resistance. Show all posts

Sunday, January 18, 2015

Gold Trading Strategy as at January 18, 2015

Gold appears to be at least moderating in its advance today. So far we are seeing it backing off from resistance, probably waiting for whatever economic news may appear as this week goes on.

Of interest is stability in Greece, the adventures of Mr. Draghi and politics in Iceland as it withdraws application to join the EU.

Good Trading in the week ahead!

Saturday, January 17, 2015

Gold Analysis as at January 17, 2015

Your Gold Trading Strategy will have been altered significantly this week as the metal has made a strong move north.

I have a few charts with some notations for you to have a look at, below those is some current commentary which you may find of interest.

This first chart shows Harmonics and may indicate there will be a reversal.

Here is the pivots on the weekly chart, price has stalled there, at least termporarily.

The Ichimoku Cloud appears to be offering significant resistance on the weekly chart.

On this next chart, which is weekly we can see a bearish Fibonacci pattern

And on this weekly chart we have a bullish Fibonacci Pattern

Now we have the Point & Figure Chart from They have revised the target from $1,050 to $1,510 so this weeks move had had an effect on the P&F calculations.

Swiss shock no 'game changer' for gold? - CNBC

Fri, 16 Jan 2015 12:39:36 GMT
CNBCSwiss shock no 'game changer' for gold?CNBCBut on the negative side, she said that the momentum for the Swiss franc—which surged 30 percent against the dollar on the SNB's move–created competition between the Swiss franc and gold as a 'safe haven ...

Read more ...

Gold Climbs to Four-Month High as Open Interest Surges - Bloomberg

 Fri, 16 Jan 2015 06:16:31 GMT
Wall Street Journal (blog)Gold Climbs to Four-Month High as Open Interest SurgesBloomberg“There's a lot more uncertainty in Europe and the U.S., and that's piqued a lot of investors' interest in gold,” Fain Shaffer, the president at Infinity Trading ...

Read more ...

2015 Stock Picks: Our Gold Plays Surge Ahead This Week - Money Morning

Sat, 17 Jan 2015 04:16:44 GMT
2015 Stock Picks: Our Gold Plays Surge Ahead This WeekMoney Morning'The past couple of years have seen considerable pressure on most gold equities, thanks in large part to a declining, then consolidating, gold price,' Money Morning Resource Specialis ...

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PRECIOUS-Risk aversion puts gold on track for biggest weekly gain since 2013 - Reuters

Fri, 16 Jan 2015 21:51:10 GMT
PRECIOUS-Risk aversion puts gold on track for biggest weekly gain since 2013ReutersNEW YORK/LONDON, Jan 16 (Reuters) - Gold rose to a four-month high on Friday and was set to increase 4.5 percent for the week, its biggest weekly gain since August 201 ...

Read more ...

Friday, January 16, 2015

Gold Ichimoku Trading Strategy as at January 15, 2015

Gold has experienced a nice upward move in the past few days, it is time to examine the trading strategy with a view to support and resistance.

The Ichimoku Cloud does a great job of demonstrating potential support and resistance. We will have a look at  some different time frames to see what may be in store for the metal.

The first chart is the monthly. You can see that price is approaching the resistance of the cloud and if you look back a few bars you can see that it has attempted to go through the cloud more than once and been rejected.

This is the weekly chart, once again price is approaching the cloud. At this point the cloud is not very thick and may not present much resistance.

The daily and 4 hour charts show that price is above the cloud which will be acting as support.

Some additional commentary on Gold

Jeff Gundlach Webcast, January 13 - Business Insider Tue, 13 Jan 2015 13:07:45 -0800
The best commodity in 2014 was gold. Screen Shot ... Gold gained ground in basically every currency except the US dollar in 2014. ... "Gold is on a stealthy rally and I suspect gold is going to be headed higher not lower." ...

Read more ...

Sat, 10 Jan 2015 00:57:00 -0800
Contrarian, gold & precious metals. Profile| Send Message|. x. Author Following Options: Follow this author. See their articles on your Seeking Alpha homepage and in your feed. Real-time alerts on this author. Get their new ...

Friday, November 21, 2014

My Gold Trading Strategy as at November 21, 2014

Will the Butterfly make your trading strategy bullish?

This is a weekly chart and it seems that the butterfly pattern is having an effect as the price of Gold has been rising for three weeks.

Let's see what happened this week with the weekly pivot.

Right from the start of the week there was a bullish sentiment and the resistance was tested early before Gold dropped to bounce off the weekly pivot. Friday the resistance was tested again and ultimately the close was less than the resistance.

Now we can have a look at the Ichimoku chart and we can see that the price will meet the resistance of the Ichimoku Cloud with a further gain of ten dollars. You can see that recently price has approached the Cloud twice and been refused both times. Definitely there will be resistance to an upward move for a while, at least according to the Ichimoku Cloud.

Next we can have a look at the Point & Figure chart for Gold.

I have marked the resistance at $1,220.00 and you will notice that the bearish target is still set at $1,050.00. 

Next week will bring more excitement as Gold looks again for direction, hopefully our trading strategy will be profitable.

Good Trading...!

Saturday, November 8, 2014

How Can Ichimoku Help Your Trading Strategy?

The Ichimoku indicator is a complete trading system in itself and several master traders, including people trading for funds and banks use it for their trading strategy.

I am not going into the development of this system in this post, instead I want to illustrate my use of the Ichimoku cloud.

Let's have a look at a chart:

I have placed 4 arrows on the chart, the first two point to two things, the first being the thickness of the cloud and the second being the two attempts to break through the support. Of course the thin cloud is not going to offer a great support and price can break through easily.

The third and fourth arrows are meant to illustrate that the cloud is becoming thicker and there will be stronger resistance for price to cross in that area. That tells us that a quick rise in price may be difficult to accomplish. Notice that the cloud is extended 26 bars into the future, gives us an idea as to what may be coming.

Here is a chart on Google.

On this chart I have again placed 4 arrows. The first three illustrate the support, three times price tried to break support offered by the cloud and finally on the fourth attempt was able to break through. The fourth arrow shows a thin area of the cloud that price was easily able to break. You will notice if you take time that it often takes more than one attempt to get through the cloud.

One more chart. This chart is the SPX.

Again 4 arrows!. The first two demonstrate the hesitation at support, the third shows the long wick as the buyers took control at the support level and the last one shows..... price had no regard whatsoever for the resistance of the cloud and burst right through it. I think that confirms that we can not rely solely on an indicator, that we must always use price action for decision making.

I have some resources regarding Ichimoku trading strategies, here are a couple links.

The first is .

Also Investopedia .

Enjoy your day..!!