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Gold/Mining/Energy : Blue Chip Gold Stocks HM, NEM, ASA, ABX, PDG -- Ignore unavailable to you. Want to Upgrade?

To: benwood who wrote (30628)	8/17/2011 8:53:33 PM
From: stuffbug	Read Replies (1) \| Respond to of 48092

NO, doesn't bug me at all. First, the MACD needs to be adjusted for price to make a meaningful comparison. Looks like MACD got to about 30 in 1982, when gold price was around 500. That's six percent. Six percent of 1800 is 108. Daily MACD can correct with sideways price movement. Monthly MACDs can stay overbought for years. Just look at the S&P500 or DJIA from the mid to late 1990s. And during that bull market, the daily MACD made multiple all time highs. I agree that we are due for a short term correction. But there is no way of knowing when or how deep it will be until it arrives. My short term model went bullish on July 8th - we would need a correction of more than $100 to reverse the current uptrend. The uptrend that started in early February lasted almost three months.