goldtrends.net Analysis of Gold and Silver

Gold Trends Intra Day Gold Update - Sept 7th
Lets go right to the markets

Trades -- Long 1 mini gold at 1793 --- stop 1840 stop close only --- I'm exiting market now at 1809 and will stand aside.

Long 1 mini silver at 40.80-- stop 40.60 stop close only ----- I'm exiting now at 40.80 for a breakeven trade and will stand aside.

It looks as though the save the world news from Germany and Europe is here this morning as all of a sudden --- all the bailouts are going to be taken care of and the world is going to be fine once again. The IMF is now seeing global growth at 4% -- the Bank of Canada no longer needs to raise rates -- the new Italian Austerity plan would include 3% tax on incomes above 420K -- Germany went ahead with the bailout of Greece ---- and we can go on and on this morning.

From a trade perspective one needs to always be disciplined but every now and then there is a gut feel one has that should be heeded. Such was the case last night on the website update when gold was trading at 1875 and I discussed as much. Turns out the gut was correct this time and the discipline took a lot of profit out of this last trade.

Just after midnight EST gold was sold from 1875 down to 1815 in just 10 minutes. There was a bounce back to 1850 but the New York market low this morning shows a Forex Print at 1798 and a current price of 1815.

Another 300 billion dollar package will be presented by US president Obama on Thursday.

Going to the Chart

While the overall action on the chart only shows a 50% pullback of the move from the last two weeks, the price chart can extend to lower moves. The next support area on the chart is the 1784 area and then 1747.

In summary -- the raid on the metals is deep and it looks as though the raid can extend further and a pullback into mid month is most likely in play.


Gold Trends Intra Day Silver Update - Sept 7th

We've discussed the choppy and overlapping pattern in silver on the website. This type of pattern is usually more of a pattern we see in a trading range or when a correction is not complete. The other price point we've discussed is the 61% retrace of the May drop on the chart at the 43.30 area in Silver.

From a price standpoint the lower channel line at the 40.60-40.80 area is important closing support. A close below 40.30 would open the potential for 39.25 and even a pullback to the 36.74 area going into mid month.

In summary the metals raid is on and I'm going to cover my silver position here at break even and stand aside.

5 comments:

The Big Setup said...

all the bailouts are going to be taken care of and the world is going to be fine once again. The IMF is now seeing global growth at 4% -- the Bank of Canada no longer needs to raise rates -- the new Italian Austerity plan would include 3% tax on incomes above 420K -- Germany went ahead with the bailout of Greece ---- and we can go on and on this morning.

YOU'RE KIDDING RIGHT? The world will be saved? GOLD will be well over $2000 shortly and you won't remember this takedown. We will be writing about the takedown from $2100 to $2000..

Louis Cypher said...

I don't like to put words in Bills mouth but I am pretty sure he is being sarcastic.

Louis Cypher said...

Brian, Bill etc. and the rest of the pros probably already know this and are preparing accordingly but this caught my interest. I like to use corny movie quotes and "life will find a way" seems appropriate.
http://motherjones.com/tom-philpott/2011/08/monsanto-gm-super-insects

Unfortunately people take longer to adapt.

GM Jenkins said...

Dan Norcini's post today, entitled "CENTRAL BANKS WAGING WAR ON GOLD AT THIS HOUR," is one of the best accounts of interference in the PM markets that I've ever read. As Jesse's Cafe puts it: "The most blatant raids were put on gold last night with orchestrated selling hitting it in the off hours."
It's hard for me to imagine we're not steadily approaching a critical mass of awareness, which, when reached, will obviously be a game changer.

Louis Cypher said...

I think even the CB's are at capitulation point. The Swiss proved they can't be trusted by the others to play ball. Some CB's are openly accumulating. Others not so much.
I played an interesting game in College as a teaching moment. The game was two groups in separate rooms and the only instructions were we each had to negotiate an object from the other group to get 2 points. If we gave away our object we would lose 2 points. Two negotiators were selected to meet in a third room. After negotiations they would return to their group and decide to swap or not.
It never occurred to anyone that the purpose of the lesson that the idea was that we should swap objects and in that way we would break even rather than lose. Of course both teams decided to stab the other in the back. We all lost.