24 thoughts on “CHARTS OF THE DAY”

  3. Michael

    Any thoughts on how you trade a bull market and is there any difference between trading a bull and bear market?

    If you look at NCM and NST here in Australia they seem to have bottomed 18 months ago yet everyone still says they are bearish, yet every time you could have bought when the slow stochastic bottomed out. Any thoughts appreciated. Is this due to the weak AUD as well?

    1. Gary Post author

      Markets go up differently than they go down. If this is the bottom then the way to make the really big money is to get your positions and just sit tight for the next 3-5 years.

      1. Mark

        You’re right Gary,but incredibly very few people will do this.
        They will continue to trade in and out or they will enter this market at the very end of the run.
        And,if you are right and this is the final bottom,there is less than minuscule part of the investors into this unknown tiny sector at the moment.
        I know that you are convinced that we are going to experience the resumption of the bull market that commenced in 2001,this is a little optimistic to me,but if this will be true,we are going to see fireworks like we have probably never seen in our investor’s life.
        I pray that THE bottom is in,otherwise we should wait for the end of another downleg in order to try to be bullish again!

      2. Michael

        Sounds like a great time to have some fun and plonk 100K into really good stocks and just see what happens. Who knows it might work. You can buy a new car for 100K and as soon its driven out the showroom its down 20% anyway. See where we are in 2020. You pay 25k for school fees and that’s all gone. I think worrying about bottoms at this stage seems not worth the effort. 1900 to 1050 or 1120 to 970. why worry about 150 bucks versus the previous 850. Life is about dealing with disappointment anyway. That’s never going to go away and you are never are right anyway (anyone married for any length of time knows this)

  4. Stefan

    No this is too early, come again in 2018/2019. We could go to 1435 in 2017 without a restore of the gold bull market. We will without a doubt (based on mother nature fibonacci math) see gold below $1000, lets say 970ish before a turn around. Sorry to say this folks but I’ve been right telling you this now for +7months !!!

    1. Gary Post author

      I’m pretty sure markets are driven by human emotions and fundamentals over the long term. I doubt math has much to do with it.

      The fundamentals changed on Dec. 15 when the Fed started a rate hiking cycle. Gold has been rising ever since.

      1. Stefan

        The math is describing human behaviour not as an individual but as a collective. it includes fundamentals and emotions as well as central banking and manipulation.

        Have ever seen a fibonacci swirl? There is plenty of swirls in the financial markets and in gold as well.

  5. Bud Fox

    Still calling potential bottoms? Ata boy
    Keep the hope alive.

    $1179 is the only important number.

    1. Gary Post author

      At 4 and a half years into a bear market you have to give every bottom the benefit of the doubt. The longer this goes the more likely it becomes that any intermediate bottom will be THE bottom.

      And the final bottom has to occur at a yearly cycle low. December was a yearly cycle low.

  7. Bill J.

    Miners, weekly candle-stick is pointing to more positive weeks ahead…although in between, profit taking activities will happen as usual.

  8. Bill J.

    But, then, miners are facing another weekly vertical resistance next week at circa 14.50-ish…
    It needs to break this and stay above 15 to secure further upside tests…
    Otherwise, consolidation will ensue…

  9. Chris

    Now the greatest highlight. Gold chart. From 2002-2006, prices have been cap by the upper trendline. Post 2006 bull rally to 2008 crash, it tested the upper trendline and held. Now this 4.5 years correction has brought it back to that trendline. And so far, it held. The trendline from 2006, to 2008 is also the same trendline that gold has tested in Dec, and held. So … once again, lets see. Hmmmm… I think this is a good chance of a low, and likely THE LOW.

    http://stockcharts.com/h-sc/ui?s=$GOLD&p=M&b=5&g=0&id=p47435592116&a=443340938&listNum=6

  10. Jacob 2

    Negative interest rates in much of the world seem to be good for gold and the miners as investors look for a stable investment outside there own currency. To date thats been the dollar and U.S. equities. If the U.S. markets continue to struggle gold will be on everyones short list and sentiment will have flipped once again. Perhaps wishful thinking but what the hey. .. we’re due.

  11. zkotpen

    Groundhog Day — seven more weeks of winter for the precious metals then spring forward when the Fed does not raise rates in March.

    1. Jacob

      I think march will be very important, believe both shares and gold will crash in the short term and both will moon- shoot with the global helicopter money that’s coming. This is the very big one so to me the very rich would have been all over the miners if we had bottomed. We haven’t had the big bankruptcys in commodities yet, Bernie needs his crash to win, it’s coming

  13. Frank

    What if we are in same position as in 2000 bottom where gold and miners went up sharply only to decline 6 months later to form a new or double bottom. If so a retest could come end of 2016 and miners could go lower into that retest.

    Is that a possibility or are technicals different now?

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