Well Gold had a classic move this week with a vicious reversal.
Is the move in Gold done? We're not sure. What we are sure of is that the trend has been damaged, but not broken. The slicing of the 10 week with so much aggression would be demonstrative of a lack of support by institutional funds. That weakens the strength more than anything. You need institutions to support a stock or commodity.
On the various timeframes, GOLD gave us some interesting indicator readings. How much power it gets on it's next rally will ultimately determine, if this is a primary top in GOLD. The support levels we expect to hold are on the charts.
You should be able to click on the charts to see them up close. If not, try right clicking and open in a new tab.
FIrst the 60 minute.
Now the $GOLD daily:
And finally Gold Weekly:
Comments?
Greg Schnell, CMT
