Mr Miller, Thanks for the update. It is normal for stocks to sell down on news. In this case perhaps the expectations were higher than warranted and there is some disappointment. The candle chart shows a high wave candle, a shooting star, for yesterdays price action, which can be a bearish sign. However, the open was not below the close (it was even with it), the candle is not in a significant up or down trend so its bearish implications are muted. Volume is high compared to average which would signal distribution with. This is nothing we don't know as many are cashing in profits as this was the highest high since the first run up in October.
Now all the weak hands are cashing in and the strong hands are buying.
We will have support points all the way down if it keeps going that way, 7/16, 3/8 5/16, and especially strong at 1/4. Silver this morning is making a run being at 5.43 30 min ago, up .20 and it is starting to pull gold with it. We could get some help with a POG move up, though that will see resistance around 308 Dec.
Frankly, I am not abandoning ship at this point, when the sellers get done selling, and if support holds at any of the above points (higher the better of course) IMHO any more news of gold like October and this one immediately doubles from where it is now or at the close.
Unfortunately people do not pay me to do TA, but I do bet my own money on it; nevertheless it is only worth what it costs you and remains my own possibly worthless opinion.
This day may tell that tale.
Thanks and best wishes
Roebear |
