July 19, 2012
- in Uncategorized by schooloftrade
Gold Futures Technical Prep
9:00am EST
Gold futures are trading in the middle of the range, andlooking very narrow as we sit right on top of the PHOD. This area tells me the traders on gold
futures have no confidence to go higher or lower. As we sit on the PHOD this tells me the
buyers tried to push and failed, and now the sellers are not grabbing hold and
the price is sitting. The big key to our
success today on gold futures is to avoid the middle of this price wedge and
try and sell retracements below the PHOD and if we can move lower below the PHOD
with decent market personality we will feel confident to sell short with
wave-pattern. BEWARE!!! This market looks dangerous.
HOLDON A SECOND! We check the 55-range chart on gold and we
can see some trading opportunities. We are
in the middle of the larger trading range, so we need to be careful, but as we
zoom in on the faster timeframes we can see the short term price wedge is ripe
for the trading. We want to sell the
highs and buy the lows of the price wedge, trying to avoid the middle. So if this price drops we sell wave-patterns
down to the lows, and then look to buy the lows.
