Short

Gold weekly RSI pattern showing risk

Updated

The weekly RSI pattern has been a good warning for risk increasing.
RSI can go on for a while and diverge, but is it worth taking the risk?

If this pattern holds true, then gold is getting riskier. If dollar starts
another up phase, then we might see a dropp in gold.

Also watch COT data that comes out on fridays to see what smart money is doing.
That will be a bigg tell.

I have identified couple of goldstacks that have excellent rocks and management
that i will buy when gold drops and the stocks drops in price.

You can buy DUST to short gold stocks or buy GLD, GDX, JNUG, GDXJ to play
gold stocks when price drops and we get better prices for entry.

Please fallow and like, have a nice day.

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Be patient, we do not chase risky gains near tops. We want to be ahead of the curve and wait, then position before the hear and before they finds a animal pattern on the charts.

COT data will be out today and will give signal about what the smart money is doing.

I will keep you updated.

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The smart money is stedily shorting gold the COT was more shorts gain, but not big %change, small investors also went more bullish. This might run further into next week, we will evaluate next fridays COT. Since the big money move the markets we need evidence before we take any position.

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Hidden divergence? for those who use that i guess.

I noticed alot of authors on tradingview post after the fact it happend, verry few can get a direction before it happens and clearly show the idea and the plan to trade it. Also many authors post 2 sided ideas, so in case it gos up or down, they basicly dont look bad, in my oppinion not helpfull. I stick my neck out, but my dicipline to not take positions to early keeps me out of trouble in case i am wrong.

Be carefull about people selling courses, look at their track record. If they cant consistently bring in proffit, then why ae you paying? Eduction is free on google and youtube, they simply copypaste and tell you what you can get for free.

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Its hard to not feel FOMO, but be patient. We do not want to fallow the sheep.
We want to position opposite, but we must respect price strength. Once we have evidence that COT data shows changing off trend and dollar showing evidence of decline is over,, then we can look at entry.

Protect your capital, patience is needed. sometimes the best trade is not to trade.

Gold is volitaile at tops, we do not need to be first.
I will post dates when my system generates signal.

1-3 weeks looks likely, and we wll be patient and get a good entry to short.

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COT out soon and we will evalute based on that next week. I need break of the 21MA to confirm any top. Gold looks strong and mybe this will not be a to shallow correction.

Alot of people got burned trying to short to early, be patient.
We do not need 1000 trades every year, but some good ones is all you need to make the good money.

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Need to watch the closing price, its getting to our entry strategy.

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We expect a short term top to be forming. Remmember its inverted correlated to the dollar since its priced in dollars. If dollars get strong again it usally push the price of the commodity down.

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So now majority of people are bullish gold. My question is, can everyone win?
In markets for small precentage of winners there has to be alot of loosers.
If majority is bullish, we have to keep looking at the opposite direction.

Gold has had alot of momentum, but as shown, its risky to be long.
We will be patient and wait for evidence for a top and a corretion.

Dollar needs a run again within february or my models shows down side.
Gold and dollar is inverse corrolated.

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We got our breach of 21MA, meaning the decline has begun. The cycle is maturing.
If it dont drop alot the enxt two weeks, it will turn bullish again until April.

If you listend to tradingview who watch media and told you to go long, you probally lost money. As i said many times before, people behind the screen, you dont know who they are, their background or education. Be carefull about tips, and specialy from the guys here that sell courses by private msgs and online courses.
You dont even know if they trade.....

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Closed the short dust idea with a 12% proffit. Alot of repporting coming in and there will be alot of volitility. I did not lik the price action and belive the downside will be limited going forward.

TradingIsNotGambling

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