24/11/2020 11:14am Gold Trading at its 200MA
Jim Rogers Take on Gold - and Central Banks.
Fundamental Analysis :
Bullish case :
1. Continued Quantitative Easing by the Fed - Dollar Weakness, Inflation Risk
2. Contest Election - Election Fraud - Civil Unrest
3. 2nd Wave of Cov19 Infections - Partial Shutdown of the Economy
4. Continued rise in Fiscal Government Spending ( Stimulus )
I believe it is a matter of when, not if, gold will eventually find support.
Bearish Case :
3. Stronger than expected Economic Recovery in the US.
4. Early Success with Vaccine Treatment and its Distribution
5. Peaceful Transition of Power from Trump administration to Biden administration
Any the bearish case plays out - I cant see it as more than a short term retracement to be bought into later. Longer term, 1-2 years from now, gold should still be in an overall uptrend, given the longer term horizon of the bullish fundamentals.
So do we trade higher from here... or do we break below 200MA and retrace to a deeper support node first.
I think much like the Equity markets - a large part of that depends on who remains to be the President of United States. ( short term impact )
At the moment - IT really comes down to whether Trump's Legal Team is successful in proving their case for Election Fraud, following their argument about mail in ballots. I personally do not take sides being someone living in Thailand outside the United States - but for the above reason - I am following Rudy Giuliani - to get an early indication on how the legal lawsuits are playing out.
Technical Analysis :
GC3-056 Q
Strong thrusting price action.
GC3-056 M
Testing monthly MACDP
Deeper support nodes at 1759, 1718.6.
GC3-056 W
Weekly Oversold
GC3-056 D
Daily Oversold
Testing 200 Day Moving Average
Definitely seeing price supporting around these levels.
GC3-056 240min
We do not go down below 240min timeframe for our blog posts as we try to keep our analysis here to higher timeframe nodes, and longer term market moves.
For lower timeframe - intraday analysis - we do cover them in our
I'm in the trade from these levels, Watching price action intraday, and managing my long positions - stops in place.
You can follow this trade LIVE Here !
I have also shared my perspective on how we might trade from here moving forward... based on current price information.
Good luck!
Joseph AuXano
DiNapoli Trading Academy
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Author
Joseph AuXano
Author
Joseph Auxano, is an active trader with more than 13 years of market trading experience. He obtained his degree in Finance from the University of Singapore. His passion for the markets started early. He was already actively involved with the stock markets before landing his first Job as a Trader at a Commodity Trading House in Singapore. His fascination for the markets continued to drive his search for the Holy Grail of Trading, and his research on Fibonacci Techniques. This led him to discovery of DiNapoli Levels in 2007. Since his training under the tutelage of Veteran Trader Joe DiNapoli, he has since developed as a Professional Trainer and a full-time trader. It was with DiNapoli techniques, that he discovered first hand the freedom that came with trading. He has traded the markets out from Toronto, Miami, Siesta Keys, Singapore, and is now trading the markets out of Bangkok Thailand. Joseph Auxano is an Authorized DiNapoli Expert, representing DiNapoli Levels Methodology in the USA, South America and around Asia. In 2019, with the help and approval of Joe DiNapoli, Joseph developed the DiNapoli Academy Online Course, with the goal of helping aspiring traders in their journey with Dinapoli Trading Techniques.
