Goldaud
Gold Vs 10 Year Treasury Bond Interest Rates In this video, I explain in detail the relationship between the price of Gold and the interest rate on 10-Year Government Treasury Bonds.
You will understand why Gold is used as a hedge against inflation when investors cannot protect the purchasing power of their wealth through the purchase of government treasury bonds.
Gold has risen in value by 231% since 2007 from $545 an ounce to $1,809 an ounce.
As central banks must keep interest rates low coming out of the Covid-19 pandemic to help governments borrow huge amounts to inject stimulus into the economy, gold remains alongside stocks the only way investors can hedge the risk of inflation from eroding the value of their wealth.
We also look at Gold priced in Euro's, Pounds and Australian dollars as interest rates in Europe, Australia and the UK have hit record lows over the past few years.
You are going to love this educational video!!!
Gold (AUD) since 2007- Secular bull market.Gold (AUD) has been in a secular bull market since the early 2000s
Four easily identified formations (last 3-4 years each). The current formation still has a way to go to be 3-4 years old.
Ascendening Broadening wedges, Falling wedge, Up channel, Slight ascendening broadening wedge or Up channel (current formation).
Gold (AUD) daily- Clear breakout from Ascendin' Broaden' WedgeGold (AUD) daily- Clear downward breakout from Ascending' Broadening Wedge (ABW). Price target is horizontal red line. Temporary relief at purple UpTrend line.
Regarding the 52% of ABW that break out downwards. 81% of those act as Reversals of the prevailing trend- Thomas Bulkowski.
thepatternsite.com
GOLD/AUD - $2,800 Fib Target Within SightQuick update on GOLD/AUD
We appear to be chugging along in a relatively undisturbed uptrend, the Fib extension targets from the April-August 2019 wave higher are pitching a potential point of resistance at the $2,800 mark as this coincides with the 1.27 extension. With a potential overshoot to just shy of $2,900 (based on Keltner channel targets)
Technicals:
~ Macd is bullish and is crossing above on the daily
~ Daily RSI appears to be congruent with the move higher, with no significant divergences, the monthly RSI however, is quite overbought at press time, but is confirming the higher highs
~ Price recently checked in with the 50 ma, so there is still ample room to move higher before a more substantial pullback
~ Price appears to be respecting the 21 ema
~ Looking to the monthly, price has come quite detached from the 10 period ma, suggesting that some mean reversion is on the cards, either by way of price falling, or a period of consolidation to allow the moving averages to catch up
Overall GOLD/AUD is performing very well and looks set to continue higher, at least to the $2,800-$2,900 range, at that point i would expect some selling pressure which could prove to be an ideal entry point
-TradingEdge
Gold daily in AUD- Rising wedge.According to Bulkowski- 60% probability of downward breakout, 40% of upward breakout.
As for downward breakout for a falling wedge, one of the worst performers, with 72% probability prices will retest breakout point (throwback).
As for upward breakouts for falling wedges, far more likely to be fruitful with far better performance, according to Bulkowski.
Gold - A Useless Rock, Barbarous Relic, No Yielding AssetHowever since 2009 and before you can see that in all major currencies gold has acted as a protection hedge against inflation and depreciation of these currencies. Definetely not a short term trade but one for the long haul and from the charts it is clear, the blow off top has not occurred yet.