Clearly Gold’s baby blue dots of trend consistency are directionally neutral, whereas the Profile suggests trading support in the 2030s, (but we’re not holding our breath).
The coming gold-futures buying alone will push gold much higher. The euphoric AI stock-market bubble should soon roll over, which should also boost gold investment demand.
We make plays on NUGT, DUST, JNUG, UCO, and other key leveraged ETFs, as well as some individual stocks. Tight stop losses on every trade keep drawdowns in check.
On this weekly line chart, gold is consolidating what appears to be a major breakout from a broadening formation. The top of the formation is the key $2000 price zone, making this breakout a very significant event.
When you're over an 18-week average and you come back often, the market will stall there figuring out what the next move is. When we look at the daily bar chart today, you had an outside day to the downside.
You're looking at the $2027-2023 area and if you get over that high, you're no longer in the downtrend. Here's your battleground; the pros are probably selling against this $2039 level that we've talked about.
Bloomberg reported U.S. January retail sales and weekly jobs claims came in softer-than-expected and gold got a nice lift at the end of the week, but not enough to flip in a positive rise in price like the other precious metals.
