Loading ...Good evening fellow chartist
-> Posted by Matrix @ 20:16 pm on August 21, 2014 3 Comments
Spending 22 years in the Forex business had my ego believing that everything revolved around currency values, now that I’ve been retired for the past 12 years I realize I was 100% correct.
I’m going to highlight key currencies that act as a Windsock indicators as to where Gold trades. The #1 chart reflecting Golds action is $YEN…have a look at Golds action since the devaluation of the Yen unfolded. Sept 2012 Gold is trying to regain the $1800 level as $Yen trades @ 129 with the Japanese equity market at 8500. Over the next 9 months $Yen devalues 30 pips as the Nikkei tags on a gain of 88% while Gold falls $600 creating the Chop trade zone between $1400 and $1200
stockcharts.com/h-sc/ui?s=$XJY&p=D&yr=2&mn=3&dy=0&id=p91758247992&a=348679109&listNum=1
The next Monthly chart shows the trading zone $Yen and Gold have been in since the big dive spring of 2013
stockcharts.com/h-sc/ui?s=$XJY&p=M&yr=2&mn=6&dy=0&id=p11671480024&a=363506812&listNum=1
Looking back YTD on the daily action one can see the major resistance zone of which Gold is turned back from a true bullish breakout….the key 99 level for $Yen….this chart suggested exiting ALL long positions in the pm’s sector last week as the indicators we currency traders use rolled over.
stockcharts.com/h-sc/ui?s=$XJY&p=D&yr=0&mn=9&dy=0&id=p52119927500&a=362766893&listNum=1
This chart highlights where Gold could make its final low off a tag of 92 $Yen or 78
stockcharts.com/h-sc/ui?s=$XJY&p=W&yr=20&mn=0&dy=0&id=p98282004533&a=327691327&listNum=1