As WSJ have put it Gold is supposed to be a haven amid hard times and soft money. So why, even as Greece has defaulted, the euro has sunk against the dollar, and the Chinese stock market has stumbled, has gold been sitting there like a pet rock? wsj.com/articles/lets-get-real-about-gold-its-a-pet-rock-1437174733
The answer is here. The devaluation of yuan will spark even more currency devaluation ahead (including the basket of currencies affected by exports. South Korea, Taiwan, India, Europe, Japan, Indonesia, Singapore). This will just be the beginning, and already gold is in the process of trend reversal since the rounded bottom in late July. It will be quite unlikely for FED to raise rates in my opinion, it will further add pressure to the already weakening cooperate profits with a stronger dollar. Everyone will just get dragged down into a recession. Raising rates will just be a token even if it does so, for the FED to have some gun powder and it will not be significant.
Gold isn't dooming just yet, contradictary to most popular believe. Its still trading in the sideways channel since 2014.
and if you like, pick up some junior gold miners. They're gold on steroids.
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Set stops to break even upon hitting 1122, and let it ride... 1155 will be a pretty tough resistance to break.
looks like it too :D but the cup is quite small, perhaps a flag would be better
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handle of the cup*
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Stopped at break even... waiting for safer entry.
Silver broke down in H&S
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Fundamentals aside, the key thing is that shorting is a crowded trade after the flash crash on July 20.
Over the long term I still believe that gold will head back to $900 range, but in the meantime it just can't go much lower without squeezing shorts first.