Saturday, August 29, 2015

Gold Analysis As At August 28, 2015

This past week has seen the metal rise a few dollars, perhaps we can analyze gold to a certain extent and see what may be occurring.

I have several charts in this post, each one has its own story to tell.

This first chart shows the Ichimoku Cloud, interesting is that price went up to the resistance of the cloud and then retraced, and then repeated. The cloud has strong resistance to price moving higher.

This next chart , a 240 minute chart shows a Fibonacci pattern, a bearish AB = CD which could mean that price will go south. These patterns are not always accurate, this is merely an indication which would have to be confirmed by price action.

This next daily chart illustrates the current price channel in which price is contained, often price will move from one side to the other of the channel, the channel indicator is designed to contain the price. It seems, from the two prior charts, that the middle line of the channel is where there is significant resistance to an advance at this time.

 This chart is also a 240 minute showing the Camarilla indicator, price action often takes place between these lines which have been set up to measure potential moves, and it is not always accurate, just an indication that has to be verified by price action.

This last chart is a monthly chart, the indicator in the lower chart is the Commodity Channel Index. I wanted to post this chart so as to point out the bullish divergence. The period of divergence on this chart is just over two years long which indicates that it is a powerful signal. Again, divergences do not always result in a price move, they have to be confirmed by price action, In this case I tend to believe that there will be a bullish move as months pass.

Have a great weekend!

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