Please note that the COMEX, from which we get out spot future Gold data, has not traded since Wednesday, November 22. Please note futher the latest Gold prices as of November 24
The Gold Bull market report this week is shortened because the rise of the Gold price due to the cratering US Dollar late this week is yet to be reflected in our data. The charts on this page still show Gold's close as of November 22.
Here are the relative performances of $US Gold, the $US Index, and the Dow since Gold broke above $US 300 to stay on March 27, 2002:
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Please note that the spot future close on the $US index (USDX) on November 24 was a new 52-week low.
On the daily chart, the notable change this week is the shorter-term (10-day) moving average (MA) is curving up towards it 20-day counterpart. With Gold trading just below the $US 640 level, it will cross back above it next week.
On the weekly chart, the shorter-term 10-week Moving Average (MA) remains below its longer-term 20-week counterpart with the Gold price still above both. This chart is still inconclusive. We await the crossover - shorter term MA moving above longer-term MA - for a definitive signal on this chart.
In early October, the WIDE double bottom at the $US 562 level was confirmed on the point and figure chart. The danger of the second "bottom" in this formation is that it set up the possibility of a "head and shoulders" formation on the chart. This has been negated by Gold's big upmove back above $US 600 to the $US 636 level two weeks ago. The level to watch for now is $US 642.
Here's another perspective - a comparison between Gold's 2002 low and its present price and the $US index 2002 high and its present "price". All data is on CLOSING levels:
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As always, we refer you to the strategic $US 5 x 3 point and figure Gold chart for an overview on the situation.
A month ago, we got a downturn followed by an upturn in the same week on this chart. Two weeks ago, Gold broke back above $US 600. Two weeks ago the chart breached the $US 635 level thanks to the $US 18.50 leap on November 9.
As we said here recently - when Gold starts "gyrating" on a $US 5 x 3 point and figure chart, you can figure that it is getting unusually "volatile". What Gold has going for it at present is the grotesque "propping up exercise" being done on the stock markets, the ever weakening fundamentals for the US Dollar, and the simple fact that Gold has made major bull market runs in every November/January period since the start of the present bull market.
Gold is just above that $US 635 level of two weeks ago at the end of this week. The next resistance point on this chart is $US 660.