The last few weeks for gold trader has been really exciting. Let face it, metals are starting to outperform us Equities late in a US stock bull market and we all know what that means. If you don’t know what I mean check out these charts!
Recently Iposted an exclusive gold analysis article on Gold-Eagle.com talking about thenext big moves and timing for the price of gold. Things are about to get muchmore exciting and life changing for those involved on the right side of the move.
In fact, in the next week, I will be sharing the absolute best way to take advantage of the gold move and it is most likely the exact opposite of what you are doing/plan to do. Recently Eric Sprott (Canadian billionaire, precious metals specialist) talked about my analysis and he touched on this gold trading strategy as well.
Ok, let’s jump into some really exciting charts showing where gold should move next based on the dollar price and my gold cycles.
The dailychart of the US Dollar index below shows where I think it should move in the nextweek. If the dollar rises it will keep the price of gold contained and possiblyforce it lower, which is what my gold cycle analysis system is confirming aswell.
The big question is if the dollar just had this bounce and rolls over, or if the dollar continues to rise after this upside target is reached. This will control what the price of gold does in the near future.
My custom gold cycle analysis which takes the most active cycles in the market and blends them into one line paints a clear picture of where the price of gold should move in the next few days.
While the red forecast shows a strong sell-off, keep in mind this is just the trend bias, price does not move to the levels of the cycles, but rather if the cycle is moving lower expect the price to trade sideways or lower as well during that time frame. It’s a trend guide only, not to be used for price targets.
This awesome indicator is just one of the trading tools I developed, which I use for oil, the SP500 and many other assets is what I use and share with subscribers of my trade alert newsletter.
So how do wetrade cycles and time the price of gold? There are infinite ways, but I havehoned in two key strategies/tools I created to make things visual and simple tofollow.
Below is what I currently call V9 (Velocity-9 from the show Flash I watch with my son), or maybe because of its Version 9 (It’s 9 years in the making)? Does not really matter, the point is it’s designed to identify trading signals for gold, silver, miners, indexes, etc… and it does this remarkably well.
The chart I think is self-explanatory but in short, it tells us the market trend, when to be long, short, or in cash. It further goes on to provide high probability trade trigger and price targets for both quick momentum trades and swing trades.
To take things one step further, by knowing the trend and when it’s starting to change the direction you can simply buy and hold high beta stocks or leveraged ETF’s with the market trend as an active trader/investor.
This system focuses to pull 1.2% – 2.5% out of any market it’s trading, and if you use a 2x or 3x ETF you can generate 5% – 7.5% return quickly and with little downside risk.
Food forthought, only fifteen 5% winners = 100+% return!
If you want to see this tool used on the SP500 take a look at these charts here.
In short, I’m bullish on gold as mentioned in my recent Gold-Eagle.com article but in the near term, we could be in for a little choppy price action.
I can tell you that huge moves are about to start unfolding not only in metals, but stocks, and currencies. Some of these super cycles are going to last years. Brad Matheny goes into great detail with his simple to understand charts and guide about this. His financial market research is one of a kind and a real eye-opener. PDF guide: 2020 Cycles – The Greatest Opportunity Of Your Lifetime
Asa technical analysis and trader since 1997, I have been through a few bull/bearmarket cycles. I believe I have a good pulse on the market and timing keyturning points for both short-term swing trading and long-term investmentcapital. The opportunities are massive/life-changing if handled properly.
I urge you to visit my Wealth Building Newsletter and if you like what I offer, join me with the 1 or 2-year subscription to lock in the lowest rate possible, get a FREE BAR OF GOLD and ride my coattails as I navigate these financial markets and build wealth while others lose nearly everything they own during the next set of crisis’.
Chris Vermeulen has been involvedin the markets since 1997 and is the founder of Technical Traders Ltd. He is an internationally recognized technical analyst, trader,and is the author of the book: 7 Steps to Win With Logic
Through years ofresearch, trading and helping individual traders around the world. He learnedthat many traders have great trading ideas, but they lack one thing, theystruggle to execute trades in a systematic way for consistent results. Chrishelps educate traders with a three-hourvideo course that can change your trading results for the better.
His mission is to help hisclients boost their trading performance while reducing market exposure andportfolio volatility.
He is a regularspeaker on HoweStreet.com, and the FinancialSurvivorNetwork radio shows. Chriswas also featured on the cover of AmalgaTrader Magazine, and contributesarticles to several leading financial hubs like MarketOracle.co.uk
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