3 replies to this topic

[Russ]

[SilentOne]

Have you ever looked at a price-volume chart of gold? Gold at $380 looks like a rock of support now that we are above it. So where does resistance come in if we break out and clear $430? Forget $360 gold, in fact I would bet that you can also say goodbye to $400 gold if we go up from here. I hope this link works as the chart would not post.

Gold Price-Volume

cheers,

john

[Russ]

John,

Long term $500 then over $1000 seems likely, this wedge looks kind of like a bear flag though don't you think? - after a double top in Jan.

Heard Doug Casey on the radio today, he is looking for serious inflation in the future, thinks Bush is a "moron" and socialist Kerry is preferrable as he would lead to Washington grid-lock which is good(keeps the gov. off our backs) and thinks the war against Islam could end in multiple US cities being nuked! America's glory days are numbered in his view as Asian out-sourcing will lead to decline in living standard for Americans. Gold is the place to be in his view.

Russ

Have you ever looked at a price-volume chart of gold? Gold at $380 looks like a rock of support now that we are above it. So where does resistance come in if we break out and clear $430? Forget $360 gold, in fact I would bet that you can also say goodbye to $400 gold if we go up from here. I hope this link works as the chart would not post.

Gold Price-Volume

cheers,

john

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[SilentOne]

Hi Russ,

A lot of technicians are bearish gold and I just don't get what they are looking at. I don't see a bearish rising wedge on gold here. I see a price pattern gearing up for another move up in gold IMO.

http://bigcharts.mar...&mocktick=1.gif

I will also note that earlier this year many technicians were confident that oil would top just over $40. A bearish rising wedge was what they were eyeing. Sound familiar to gold? I think Wall Street doesn't have a clue as to how high oil is going to go (and why the DOW has held up so well so far). Try $60, then $70 and probably $100 within the next few years. Easy.

Have a look at this chart at Richard Carey's site linked below. The MAs won't show in the image here, but note his comments on the MAs and how they can predict a trend change. Do you see any sign of that here? In fact, with gold recovering from this years lows the MAs are lining up again to support price.

http://stockcharts.com/def/servlet/SharpChartv05.ServletDriver?chart=$GOLD,uu[w,a]wiclyyay[d19941002,20041002][pb10!b20!b30!b40!b50!b60!b70!b80!b90!b100][vc60][i][J36948331,Y].gif

Have gander at his charts and tell me what you think.

Richard W. Carey

I'm open to being wrong on the metal as I have a lot riding on it here. But I think most are missing what is really happening in the sector. And judging from the lack of interest in PMs at this forum and other boards, I think that is a fairly genuine comment.

cheers,

john