02/08/22 Gold Futures

Gold has been coiling and bouncing off support for over a year now and that has kept my bias long. When we see basing like that it usually means the product (in this case Gold) is building energy for a move higher. On February 8th, I got a buy signal at 1829 and looked to enter the trade long. A few things were working in my favor on this trade. First was that price had fallen below the 200 and then recaptured. The second was how strongly price reacted off of my 1790 level. Showing me that this level is continuing to be respected.

Being that I was looking at price on a larger time frame I wanted to give this trade some time to work as long as we held above that 1790 level. A few important levels that I’m now looking at in this trade. 1850 & 1880 were immediate resistance levels. We pushed past 1850, saw some selling at 1880, retested 1850 then we continued the push higher as the trend stayed intact. As of writing, we are trading at 1895. Another level I’m paying attention to is 1965. It should be noted that 1965 is a very important level in the bull case for Gold. If price is able to push above this level and hold I believe we are headed to all-time highs.

As many are aware, almost everything has been selling since the start of the year. Bitcoin, NDX, SPX, Equities, the list goes on. Gold moving strongly higher while most everything is selling should not be ignored and I will be following closely as we approach that 1965 level. (P.S. - If you’re interested in the trend algorithm you must first subscribe and then send me a message through here or email asking for access to it).

Namaste