Positive expectations related to the US/China trades negotiations on October 10th prompted a moderately strong upside move in the US major indexes and the stock market.
Additionally, the precious metals fell in correlation to the upside move in the US stock market and presented another opportunity for skilled technical traders to look for entries below $1500 in Gold and below $17.75 in Silver.
We can’t stress the importance of this critical $1500 price level in Gold as a key level for all traders to watch. It has continued to provide key support for Gold since the price rally that initiated in late April 2019. We believe this level will act as a relatively strong price “floor” going forward and any price activity below $1500 could represent a very opportunistic entry area for skilled traders.
Back in early September, we authored this research post highlighting what we believed would happen going forward 30 to 60+ days for Gold. At that time, the price of Gold has just rallied above $1500 for the first time in 2019.
GOLD WEEKLY CHART FROM OUR SEPTEMBER 2ND RESEARCH POST
This is a Gold Weekly chart from that September 2 research post. We still believe our research from that post is accurate and we believe this new move below $1500 is an incredible opportunity for skilled traders that understand the real potential of the future of precious metals.
120 MINUTE GOLD CHART SHOWING PRICE CORRECTION WARNING BEFORE IT HAPPENED
This 120 Minute Gold chart showing the early price decline on October 10, 2019 and highlighting the $1500 price support zone in RED illustrates how price has continued to find this level acting as strong support and how price has, in the past, moved through this level and back above it to form the new “momentum base/bottom” near October 1, 2019.
We believe any move below $1500 (or more precisely – $1495) is a very strong entry point. Obviously, a price move to lower levels would be even better. Currently, as long as price stays above the Momentum Base level (near $1463), then we consider the October 1 price rotation the true momentum base “low”.
CURRENT DAILY CHART OF GOLD – SUPPORT ZONE, AND FORECAST
This Daily chart highlights the same $1500 price support zone and clearly illustrates why we believe any price move below $1500 is a very strong opportunity for skilled traders. The next leg in Gold should push prices above $1700 (possibly higher). Longer-term, we believe the fear and uncertainty in the global markets will not subside until well after the 2020 US Presidential election cycle completes.
Therefore, we have at least 12 to 16+ months of continued fear driving investor uncertainty in precious metals and as the US political chaos heats up, so will precious metals. At this point, we believe Gold has just started to “lift-off” in terms of the ultimate upside potential over the longer term. We’ve discussed the potential of Gold reaching above $3750 and we believe this target level is very valid.
Play these moves accordingly. This may be the last time you see Gold trading below $1500 for quite a while.
As a technical analysis and trader since 1997, I have been through a few bull/bear market cycles. I believe I have a good pulse on the market and timing key turning points for both short-term swing trading and long-term investment capital. The opportunities are massive/life-changing if handled properly.
Be sure to ride my coattails as I navigate these financial markets and build wealth while others lose nearly everything they own during the next financial crisis.
NOTICE: Our free research does not constitute a trade recommendation or solicitation for our readers to take any action regarding this research. It is provided for educational purposes only. Our research team produces these research articles to share information with our followers/readers in an effort to try to keep you well informed. Visit our web site to learn how to take advantage of our members-only research and trading signals.
https://www.thegoldandoilguy.com/wp-content/uploads/2019/10/90.png470850adminhttp://www.thegoldandoilguy.com/wp-content/uploads/2014/11/tgaoglogo.pngadmin2019-10-11 13:25:122019-10-11 13:25:12Gold Gifts Traders With Another Rotation Below $1500