So in the gold market, we're down 3.5% percent for the week. You still have an upside bias, you can see that the market's over the 18-week average of closes. You can see that when we got up here when you look back, you have a double top in place in the gold market. Okay, it's not the worst thing in the world, but the market made a double top and you go to an analyst, they'll say 'Oh yeah, that's it, you were right in that $2450 zone and the market broke down from there.'
The pattern is an instant correction. Remember, I just said to you, you were $2452 and suddenly you're at $2332. So you're down $120 an ounce. You stepped out of the uptrend. If I step back on this chart...without today, you clearly had higher lows and higher highs right? With today, this low takes out that low, and you just sort of hanging in there, so you've ended this upswing, and now the market's ready to reconsolidate.
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.
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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.