So when I look at the gold market, my attitude on the gold market is [that] the market is falling down. If you look at your support in the market on an 18-week moving average, it's back at $1993.
I thought it was so far ago a while back, it's not that far anymore, you're $27 away roughly. When you take a look at the action in the chart, you haven't done anything. Now let me explain what I mean by that statement because I don't like making blanket statements you don't see.
if you take the high up here, you take the low down here – these are your spikes. I think you'd agree recently; you could even argue this spike, you can argue that. I don't want to do that. I want to take these spikes to the correction...and where are we? Nowhere. I mean you're just drifting in about a $50 correction plus in the market. When you put the swing line on – and this is a study that I wrote – lower highs lower lows – that is bearish.
So to negate the bearishness of the market and at least break the pattern of lower highs and lower lows, you've got to get back over $2041.90. Haven't done it at this point. Where's the battleground? It was the 18-day average of closes. We saw that for quite a while. You got over it, you're about under it now, as much as you were over it.
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.