The Asian flu it appears is not the only malady spreading from the Far East these days, as global markets plunged this week. The rout started in Shanghai. Nothing was spared during the sharp sell-off including precious metals. As a result, today the FCS issued CASH/SELL signals across the board for the HUI, XAU, GLD and SLV. The […]
The precious metals certainly put in an exciting performance this week. The pick up in volatility along with price appreciation was a welcome sign anticipated in my last post. The FCS signals continue on buy status for gold, silver, and the mining stocks. The current GDX long position is now up 7.6% and the GLD long trade is up 10%
The first chart shows the projection/resistance […]
DRDGold (DROOY) is South Africa’s fourth largest gold producer. Its chart portrays the extreme emotions of passion and pain that investors have had to endure during the current gold bull market. First surging with pride and outperforming many of its peers, only to suddenly be castigated and thrown out like a drunken misfit. […]
The FCS issued a buy on Gold (GLD) 1/12/07 at $621. The signal remains on a buy with Friday’s close at $663, up 6.8% A buy signal for GDX occurred on 1/23/07. The signal remains on buy and is currently up 5.3%. Let’s review the current FCS HUI chart:
CLICK TO ENLARGE
The last major swing low in early January occurred precisely at the very strong supportive CV2 […]
The precious metals bull market began without much participation from silver. The price of the white metal lagged substantially the large moves in gold during the first phase advance that ended in 2004. However, I can no longer ignore the technical truths charts are clearly beginning to depict. Since 2006, silver price appreciation has not only caught up with gold on a relative performance basis, recent price […]
This week the price of gold pushed above the upper trendline of the golden triangle. However now it has paused and is consolidating just above it. Within our golden triangle is another pattern called a complex, inverse (or bottoming) head and shoulders formation. I have marked the key features on this chart:
This structure has a smaller head and shoulders embedded within a large head of […]
Now I am going to go into more detail about the various indicators and signals found on the FCS chart. Below is the current chart with some helpful labels.
CLICK TO ENLARGE
The most critical are the vertical GREEN and RED lines. Only these are the actual BUY(GREEN) and SELL/CASH (RED) signals. The last vertical line is green, so we […]
In the financial press, I often hear comments about the gold and oil markets that make the following assertions. The first is that oil prices have a direct and immediate influence on the price of gold. The second is that oil prices have a negative influence on gold mining shares. I have prepared charts to investigate if these relationships are indeed present.
The first is a two-tiered chart of […]
The FCS issued buy signals on both the HUI and XAU after today’s strong close. A buy signal was issued on gold itself last week, Wednesday. I will be opening a long position in GDX at the market open tomorrow.
Break outs from triangular patterns are frequently high momentum moves, often referred to as thrusts. I project this one could reach the area […]
Gold has been consolidating since May of last year. From May of 2005 to May of 2006 gold experienced the largest move up since the gold bull market began in 2000. In my last post, I explained that a Neowave pattern called a running double combination had completed in May of 2005 with very bullish implications; when subsequent FCS buy signals confirmed the bullish pattern, I bought aggressively […]
