Originally published by Chamber of Merchants
At the Chamber of Merchants, we’re Cloud Balance fans, that is the Ichimoku Cloud. I use custom settings, but pretty much everything regarding this chart can be googled or YouTubed. So I’ll simply continue to explain what I’m looking at for Perspective.
As you can see, I have pointed out each instance where the red and white cloud lines are trending up and the white crosses above the red. It is usually followed by an aggressive push up for the Gold price.
Is this 100% certain? No. Nothing is. But the probability is high that once again, this time it is not different to any other time.
So if the chart holds merit, we should see the aggressive bounce I was discussing a few weeks back.
There’s no denying the election has affected the money flow in the markets, but the fundamentals have not changed.
Additionally, as a Merchant I do not trade Gold directly. A brief look at the 5 minute chart would show you that wherever stop losses are hiding, that’s how low the price will go to knock them out.
All the while the Australian junior gold miners continue to improve their cash positions and expand their resource counts via drilling. For me, Australian precious metals miners are the sweet spot, buffered in many respects.
But I’ll chat about that some other time.
Remember to check out some of the great posts yesterday in case you missed them.