I proposed a long on gold a couple of weeks ago, but I was early. Gold fell lower, and then rallied back up.
The reasoning behind this trade is the huge volume during the last selling wave, and when I say volume I'm not talking about daily volume, I'm talking about the Weis Wave cumulative volume. Check out the selling waves that I have labeled and look at the Weis Wave volume. Look at the last selling wave, that being the second false breakout. That volume is absolutely huge!! The effort was enormous, the reward was minimum. Big amounts of money went into gold during this wave, leaving aside that huge volume day (29th) which is some sort of option expiration or something because if you look back on the chart the big volume days happen in the same period of the month. I expect gold to rally, at least to 1350$. Stop goes under the swing low.
The reasoning behind this trade is the huge volume during the last selling wave, and when I say volume I'm not talking about daily volume, I'm talking about the Weis Wave cumulative volume. Check out the selling waves that I have labeled and look at the Weis Wave volume. Look at the last selling wave, that being the second false breakout. That volume is absolutely huge!! The effort was enormous, the reward was minimum. Big amounts of money went into gold during this wave, leaving aside that huge volume day (29th) which is some sort of option expiration or something because if you look back on the chart the big volume days happen in the same period of the month. I expect gold to rally, at least to 1350$. Stop goes under the swing low.
