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Heikinashi

The End of the Gold RallyGold sold off sharply today, dropping 15.5 points and closing under all 3 moving averages on the chart, the 6 day, the 8 day and the 21 day moving averages. Gold now seems determined to head south. The first target should now be the lower red bollinger band. Chart update: now that the bull run is over, I've removed the intermediate and short term waves from the chart. In it's place, I've added a fib retracement that spans the date range from election night, 11/8/2016 through the present. It's very clear that Gold was not able to break through the .618 retracement level and is now trading at the .50 level. Gold is now knocking on the door of the Ichimoku cloud. With 2 strong red Heikin-Ashi candles, odds are that price will now move in to the cloud. The conservative trader will want to wait for price to emerge on the downside of the cloud before going short. More aggressive traders will want to go short now, placing stops at the 6 day moving average. The Volume Profile chart shows that the long term and short term POCs have move down and it is at this level the price closed today. This is more confirmation that the bull move is over.
COMEX:GCJ2017Short
by GoldBands
Gold Falls and then Rallies Off the 21 Day Moving AverageGold sold off in the overnight session to tag the 21 day moving average. The precious metal then reversed as the New York markets opened up and rallied to close between the 6 and 8 day moving averages. On the whole, gold rose a modest 1.5 points today. Today's doji shows that once again gold seems to be in a holding pattern and moving sideways. Although since this wave started at the end of January, all selloffs have been met with enthusiastic, if not aggressive, buying. The Heikin-Ashi chart is more bullish and shows that price is trading above the Ichimoku cloud and that the Chikou Span (lagging line) is also trading above price and the cloud. While overall bullish, it's important to observe that today's Heikin-Ashi candle was a red candle. This followed a Heikin-Ashi doji candle the day before. All adds up to some level of uncertainty. The volume profile chart is also bullish. Notice that the short and long term POCs are right at the same price as the 21 day moving average. That acted as a magnet for price today but then repelled price upward. This is very bullish suggesting that there is a pool of buyers camped out at the POC.
COMEX:GCJ2017Long
by GoldBands
Gold Retreats Prior to President's Speech before CongressThe bull run of Gold paused today as gold sold off, hit the 6 day moving average and then closed at the middle of the range. Today's doji is the second in a row. Unfortunately for the bulls, as the Asian session opens up, the precious metal is now trading below those moving averages. However, you can expect extra volatility tonight as the US president addresses a joint session of Congress. The Heikin-Ashi chart shows price right at the 8 day moving average. The doji today, while green, is signaling indecision. This makes sense as the world awaits Trump's speech. The somewhat elongated node in the long term Volume Profile on the left is acting as temporary resistance at 1256.
COMEX:GCJ2017
by GoldBands