that's a mighty fine "cup and handle"
MoneyLA
Posts: 1,825 ✭
Hi Guys, it's been a while. With the new record price in gold today, I checked the 5 year gold chart and my eyes just sent me drooling over that mighty fine cup and handle formation.
Last fall I said the reverse head and shoulders would send gold to 1300... but a little selling delayed that.
but time passed and the chart came through with its technical lead and now we can add a cup and handle formation to the reverse head and shoulders formation which serves as a confirmation about the new bull run up.
how high? I dont know. certainly 1300 soon. but once a market breaks into new record high territory there is NO overhead resistance and therefore it becomes impossible to predict an end to the buying.
don't get me wrong -- buying will stop. but there is no way to predict when.
in the language of a technician: the buying will stop when it stops.
cheers.
Last fall I said the reverse head and shoulders would send gold to 1300... but a little selling delayed that.
but time passed and the chart came through with its technical lead and now we can add a cup and handle formation to the reverse head and shoulders formation which serves as a confirmation about the new bull run up.
how high? I dont know. certainly 1300 soon. but once a market breaks into new record high territory there is NO overhead resistance and therefore it becomes impossible to predict an end to the buying.
don't get me wrong -- buying will stop. but there is no way to predict when.
in the language of a technician: the buying will stop when it stops.
cheers.
0
Comments
Fred, Las Vegas, NV
$1300 sounds great. But thats no different than a $12.50 stock going to $13. That doesnt sound so great.
I want to see gold rally, and rally big, but it aint time yet.
Knowledge is the enemy of fear
<< <i>Soon to be another failed promise. Sorry. I wish I could read it differently.
$1300 sounds great. But thats no different than a $12.50 stock going to $13. That doesnt sound so great.
I want to see gold rally, and rally big, but it aint time yet.[/q
Using your analogy ----- But what if you bought that same stock at $4, $6 or $8 or $10? Then that $13 target aint too shabby and it's a goal close at hand.
I would prefer $25 and I prefer it would happen orderly and I would like some fries with that also.
In the OP's case since he gave the all clear to buy at $1000 a move to $1300 is not something to really crow about. Especially since he recommends gold as only 5% of a portfolio. A person with a million dollar port with 5% in gold will have seen a $15,000 gain on a move from $1000 to $1300. Better then a sharp stick in the eye, but not really a game changer. I guess it also depends on why someone owns gold.....................MJ
Fellas, leave the tight pants to the ladies. If I can count the coins in your pockets you better use them to call a tailor. Stay thirsty my friends......