Goldaholics Anonymous
Gold is zooming.
Why?
The DXY.
As we can see on the monthly DXY chart, the developing pattern parallels history.
1. It bounced off the 200 EMA
2. It broke trend, retested, and failed
3. It collapsed
The RSI and MACD are weak
What happened to Gold last time DXY collapsed?
Trading Signals
Buy Signal: Weekly RSI lows
Sell Signal: Weekly RSI highs
See previous posts for fibonacci extension targets.
Long MGC futures Feb(G)2021
Trading is risky and should not be attempted, ever.
Why?
The DXY.
As we can see on the monthly DXY chart, the developing pattern parallels history.
1. It bounced off the 200 EMA
2. It broke trend, retested, and failed
3. It collapsed
The RSI and MACD are weak
What happened to Gold last time DXY collapsed?
Trading Signals
Buy Signal: Weekly RSI lows
Sell Signal: Weekly RSI highs
See previous posts for fibonacci extension targets.
Long MGC futures Feb(G)2021
Trading is risky and should not be attempted, ever.
Note
Gold approaching major trendline, filtering out those big algo driven deviations in price. Have been accumulating shares of PHYS and CEF however, waiting to add to f u t u res position once the MACD drifts decisively above the zero bound.As mentioned previously even though the dominate trend is more correlated with Bonds, the DXY is impacting Gold at this time. Watching for another DXY leg down followed by a sharp, temporary recovery.
Trade closed: stop reached
Technicals broke down and got stopped out (on MGC futures) but will pick it back up once there is a supportive daily candle. 
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.