TradingView
InTheMoney_Stocks
Oct 28, 2013 5:08 PM

GDX and GLD Resistance Ahead Of FOMC Meeting 

VanEck Gold Miners ETFArca

Description

This morning, everything gold is trading higher on the trading session. The popular SPDR Gold Shares (GLD) are trading higher by 0.64 cents to $131.13 a share. Meanwhile, the Market Vectors Gold Miners ETF (GDX) is trading higher by 0.39 cents to $26.71 a share. These moves in gold and the gold mining stocks are taking place ahead of the highly anticipated Federal Open Market Committee (FOMC) meeting which starts tomorrow. The central bank is holding a two day meeting which will conclude on Wednesday afternoon. The move in gold is telling us that the Federal Reserve will likely leave its current $85 billion a month quantitative easing program unchanged. Since April 2013 the Federal Reserve has hinted about a cut in the easy money program, but has never once cut the program.

Day traders should watch for intra-day resistance on the GLD around the $131.75 level. The GDX should have some intra-day resistance around the $27.00 area. Traders should also watch the USD/JPY chart very closely as gold will usually trade inverse to that currency pair.

Nicholas Santiago
InTheMoneyStocks.com
Comments
InTheMoney_Stocks
BM, the price action is looking more like minor bearish consolidation right now. Not a flag yet, however. Dunster, thanks for the comment. Nice to see you here as well! Cheers
CoinedByCrypto
Hi Nick! With to days price action... I guess we're in sync now. I see a countable 5 waves structure down making a long legged doji - to at least a short term support (You have used a 15 min chart) area with a possible bounce up tomorrow.
CoinedByCrypto
Price action looks like a bear flag is being build
Crinklebine
That's great to see you here Nick, I was trained by you and Gareth. They even have a Bitcoin chart here.
More