Gold On Final Rally Before Major CorrectionThe idea has a broader context, i still have to publish related ideas that makes me believe that gold has this final rally before a significative correction. Targets are shown at chart.
NUGT
GDX - RAPIDLY LOOSING HOPEExhausted GDX has broken its $25 support today in last minutes trading. Tomorrow on June 22 it will be trading down. $24.08 is the most likely target for tomorrow. We may break it on Friday if UK vote to remain in EU.
Major miners I track gaped down today and behave much weaker than yesterday. Most of them painted inner bar today which most likely will be broken down tomorrow. Volume increase as we fall down confirming weakness. Other indicators show that move down has only started.
Looking for a Flash Crash in Silver I use First Majestic (AG) as a bell weather for the metals, especially the silver miners. We've had a nice run, so far this year. And... it will continue, but with the Brexit vote coming up in two days, I expect a big fall off for silver and especially the miners, EITHER WAY the vote goes.
Not that I'm exiting my AG or other mining stocks. But... I am accumulating DUST as a hedge. Probably not enough to compensate for this next down turn, but enough to make the correction more enjoyable.
PS: This text was supposed to be placed over the chart. Not quite sure why it's not showing up. Oh well...
"Gold Update" $GC_F $GLD $GDX $GDXJ $DUST $NUGT $GOLD SI_F $SLVPatterns are in place for a retreat....
3 drive into Market Structure...
Above 1334 on a closing basis changes the pattern and decreases the odds.
XAUUSD Ready to ShortMy take on XAUUSD for the near future. Currently at the 50% fib, maybe reach the 61.8% mark or move close to the trend line around $1260. Then short from there down to new lows. hopefully DUST and JDST will sky rocket then when the miners drop. The dollar will need to move to new highs hopefully due to uncertainty about Brexit and the effect on the Euro and the possible Fed rate hike. If the trend line is broken the NUGT and JNUG will sky rocket.
Gold - Pick your poisonBullish case
• Recent Impulse move with EW rules still in tact
• Huge rally on Friday 3rd June, right at the 61.8%
• CoT recently favorable
Bearish case
• Still in Multi-year down trend
• Divergence w/ Failed breakout, now in favour of primary trend
• CoT currently favorable
GDX Long (2 days) then reversalGold Miners (GDX) is at the very bottom of a major channel and could rise up before reversing the trend by completing a H&S pattern. If TP # 1 is passes, $25.50 would be TP# 2.
The Triangle that failedThis is a good comparison of a healthy continuation wedge(A) verses our 10%er that failed(B)
NUGT, DIn reference to XAUUSD falling, for the coming 5-6 weeks, NUGT is forming the forth leg of BAT or CRAB patterns, Most probably CRAB. I would keep an eye on the four targets. Tp1 almost met. My best educated guess is that DUST will reach 20$< Just above the point X
You may want to hold SHORTING NUGT at least until end of June, early July. Let us see how the price will act.
Happy trades and good luck.
NUGTWith Gold correcting I can see a Bullish Bat pattern playing out. If the pattern fills, we can expect a low of $59 and then a 50% retracement higher to the $85 area or 44% gain. Wait for it to breach $59, then buy. Take the DUST trade now, IF you feel comfortable with the 3x.
$GDX Law of Angles says 5% risk for longs remains present$GDX appear to be going through another phase of bullish absorption of supply; however, in doing so violated the 2/1 Gann Angle. Law of Angle suggest that 3/1 angle support should be tested. This correlates with previously defined support 5% lower
#Gold Testing Support Near Term Bounce ExpectedGold is testing lower levels of support as market participants aim to price in a potential rate hike in June by the Federal Reserve.
While intraday price action is oversold, the daily chart is indicating further selling could continue to below $1,230. If a close below this key level occurs, traders can expect XAUUSD to reach $1,215.
Subscribers of MacroView's "Daily Grind" were alerted of the potential of a $30+ drop as seen here .
Key factors to watch:
The four-hour chart z-score is -2.4 (daily z-score is -2.57). This suggests that prices are stretched and a score +/- 2 makes a great contrarian indicator.
Intraday RSI and Stochastic are both suggesting oversold conditions.
Multiple EMA bearish convergence, currently a 50/200 EMA bearish crossover is probable.
MacroView expects to see demand between $1,215/20. It's important to keep and eye on the short end of the yield curve. With a relatively strong negative correlation with the two and five year yield maturity, if those continue to rise, we could see more pressure on the yellow metal.
For more information on MacroView's products, or general questions and comments, feel free to message us.
Also, readers are encouraged to post their thoughts and charts!
GDX test $28?I've been following GDX for a while. Bulls are trying to absorb supply again. If so it is very likely going to test longer term resistance likely established in 2014. I remain bullish above $23 buck
Gold Update..Time Approaching $GC_F $GLD $GDX $GDXJ $DUST $NUGT Gold is approaching "Market Structure" Time Is In.
Watch for panic flush into potential areas before the turn.
GDX broke the trend line thanks to Fed rate increase in JuneGoing to test 50 day and then 200 day
Long $DUST
