It is looking like the attempted bottom to the recent PM retracement has failed, repulsed at the fast BB mid-line, and more downhill BB slide to come.
stockcharts.com
stockcharts.com
stockcharts.com
$Gold could turn back as far as $750 and still remain in a LT bull phase. This would, of course, decimate the miners. Matthew Frailey seems to be in agreement, here's a link to his latest, including charts, text, plus audio (45 min., if desired):
breakpointtrades.com
Excerpt: "Regarding commodities, the main theme of Barron's this week was a top in commodities. I think commodities have either hit an intermediate top or are in the process of doing so. However the area that really intrigues me is the precious metals area especially gold. Gold metal recently topped out just over $1000 an ounce and now appears to be in a 4th wave ABC correction. Gold is still in a long term bull market, therefore this pullback in gold will produce awesome long term and swing trade opportunities to buy gold and hold it. I thing we could see gold pullback to the mid $800's at least, and possibly even to the 65 week MA, which would be a gift from the Gods to load up on gold metal in the form of coins/bars or the ETF's, GLD or DGP ultra long. However it is too early to begin buying back into gold, I think this correction could last sometime. However once this ABC correction is complete, I think gold metal will then rally back to form new highs well past $1000 an ounce."
Note, Frailey isn't a goldbug, nor even a commodities freak. FWIW.
NC |
