In the gold market, you've set back, you're down a third of a percentage point. Starting the week off, that's where you're at right now. You can see how the market is just drifting in through here. The pattern is one of higher lows. But if you take out today's low, and remember, we're already in the evening trade. So if this market takes out $3356.20, you end up with lower highs and then lower lows. That turns the trend down. That's your line in the sand for the moment.
Notice it's right by the 18-day average of closes, so getting under there, you open the market up for a bit of a larger break. It could be towards the $3300 level before it's all said and done.
You can see momentum's down, the bias down. Take out $3356.20, and until you take out today, Monday's high, you open the door for that possibility.
About the author
LINN & Associates
Over the past 35-years Ira Epstein has developed a reputation for providing clients with easy to use technology and teaching good old fashioned trading know-how. A number of our brokers have over 30-years trading experience. No matter how technology changes the methods of entering orders, there's no replacement for having "been there and done that before". It's the blend of services that brings things together.
Be it education, market information or trading platforms, we provide solutions.
Ira began in the futures markets in 1969. Over the years he worked his way up, starting from the ground up as a "floor runner" culminating with his becoming a Floor Trader. In the mid 1970s Ira decided to make a career shift within the industry to develop both retail and commercial based clientele. His customer base grew to the point whereby in 1984 he founded "Ira Epstein & Company", a trading firm specializing in retail, commercial and self-directed discount futures trading. Along the way Ira became a leader in trading technology out of necessity, due to increased small lot trade volume. He was among the first to embrace the Internet, which as you know has dramatically changed both the way information is delivered and how trading takes place today.
One of the ways Ira, along with his brokers showcase their talents is through e-mails of market information and Ira's "Futures Videos", which can be viewed on our website, through Market Center, Linn-IraChart Software and on YouTube.