Gold Completes 6-Year Basing Pattern | Metals Mine

  • Gold Completes 6-Year Basing Pattern

    From investopedia.com

    Gold has completed a complex six-year basing pattern and could break out in the coming weeks, posting the strongest gains since the start of the decade. The $1,500 level looks like a natural first target for the advance, reaching the .618 retracement of the multi-year downtrend and the underside of 2013's double top breakdown. More importantly, there's plenty of time to get on board, with the futures contract pulling back from resistance at the start of the new trading week. A dovish Federal Reserve combined with a tariff-driven economic slowdown could underpin the upside for gold, with higher consumer prices ... (full story)

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EF5
Jun 10, 2019 11:49pm
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This makes me really really want to buy some GLD calls. I'm hesitating though because the fundamental case I see that could get us to 1,500 isn't my base case. I'm leaning towards thinking this pattern doesn't work out, but I wouldn't want to be short gold in the face of it.
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SurfsUp
Jun 11, 2019 9:14am
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I'm cautious at the moment. With Trump willing to forgo tariffs on Mexico at the moment, could other deals with China, etc. be on the table? Will G20 meeting with Xi happen and drive some results? Key is the timing for an increase. I'm going to sit on sideline a little longer on Gold.
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GoldGrilz
Jun 11, 2019 1:35am
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Gooooldd Looooonnnnggg!
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