Is Gold a Bubble and Will it Burst?
To determine if gold is a bubble, we need to understand the demand for gold, what an asset bubble is and the current renewed interest in gold.
Market Update – September 23
The Dow completed the short term head and shoulders top so focus is on the mentioned 25853 (then reassess). The bounce over the last 2 days should see resistance from the breakdown level near 27500.
Market Update: September 22
USDOLLAR finally broke above the upper parallel from the Schiff fork off of the March high. The top side of this line should now provide support near 12010. The next upside level of interest is the March low at 12129. This level intersects corrective channel resistance on Wednesday.
Market Update – September 21
The Dow is testing critical support from the June high. This level has been support since 8/20. A break below would complete a head and shoulders top that’s been forming since early June. The measured objective would be 25853.
Market Update – September 18
USDOLLAR failed yet again at the upper parallel from the Schiff fork off of the March high. Pay attention to 11940, which is 2 legs down from the 9/10 high and the 61.8% retrace of the rally from the 9/1 low, for support. This is also near the 8/19 low and top side of the line that crosses highs in August (magenta line).
Dollar Lifted After Fed Signals No Rate Hikes for Years
The US dollar advanced against major currencies in early trading on Thursday. A positive economic outlook from the Federal Reserve and a shift to tolerating higher inflation boosted Treasury yields, in turn supporting the greenback.
Market Update – September 17
AUDUSD continues to bang against the center line of the channel from the 6/15 low. Action since the 9/9 low is overlapping, brutal, and clearly corrective. Below .7250 would now constitute a bearish break of the channel from the 6/15 low and shift focus to the full channel extension, which intersects the key .7064 level in the middle of next week.
Market Update – September 16
USDSEK dipped to 8.6844 on on 9/10 before turning up. I’m viewing that low as a ‘higher low’ within the bullish cycle from the 9/1 low. Price closed slightly above channel resistance from the March high today. Strength above 8.8050 would complete a head and shoulders bottom and set an objective at 9.0150.
Market Update – September 15
WYCKOFF DISTRIBUTION SCHEMATIC The last 2 trading days have been awfully quiet so now is a good time for some educational yet applicable content. I have copies of Wyckoff schematics hanging on the wall in my office. Google Richard Wyckoff if you are not familiar with his work. I was looking at the distribution schematic…