As you look at the gold market, it's very clear that the market is suddenly making lower highs, and lower lows. You can see that on the weekly [chart]. On the daily chart, you can see how the market's been breaking down and with the swing line, you're doing the identical thing. Where did the market go to? Well, I wish I could say that it spent more time at the 18-day average. It didn't.
You had the swing up and basically, one big swing back down, and you're under lows you've recently made in the month of May. So now you're starting to make new lows for the month. What stopped the break today is the market went to the Bollinger Band, at that band you can count on it, 95 percent of the time, the market stays within the bands. It's not Ira's guess on it, it's how the algorithm is built.
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.