People have a tendency to ignore the big picture and focus on the day to day variations of the price of Gold.
Technical charts in the short term are an excellent way for day traders to time their entry and exit points for their trades, but are totally useless for those people who are focused on long term investing.
If you are one of those intermediate to long to term investors, you need to look at weekly charts and use key indicators such as the Parabolic Stop and Reverse and the 5/10 Week Moving Averages to see where prices will be moving.
The above chart plots these indicators, and you can see what happens when the PSAR flips and the 10 WMA turns positive.
If history repeats itself we may be in for a spectacular XAUUSD gain in the next few months.
Technical charts in the short term are an excellent way for day traders to time their entry and exit points for their trades, but are totally useless for those people who are focused on long term investing.
If you are one of those intermediate to long to term investors, you need to look at weekly charts and use key indicators such as the Parabolic Stop and Reverse and the 5/10 Week Moving Averages to see where prices will be moving.
The above chart plots these indicators, and you can see what happens when the PSAR flips and the 10 WMA turns positive.
If history repeats itself we may be in for a spectacular XAUUSD gain in the next few months.
Comment:
Prices could be turning back up for a few weeks. Just like last April 2016.....
