By Poly

This is an excerpt from this weeks premium update from the The Financial Tap, which is dedicated to helping people learn to grow into successful investors by providing cycle research on multiple markets delivered twice weekly. Now offering monthly & quarterly subscriptions with 30 day refund. Promo code ZEN saves 10%.

Cycle Counts

 

Cycle Count Observation Probable Outlook Cycle Clarity Trend
Daily Day 27 Range 24-28 Days – 1st Daily Cycle Neutral Green Failed
Investor Week 5 Range 22-26 Weeks Bullish    Green Failed
4Yr Month 39 Range 48-52 Months Bearish Green Failed

We have seen a fair amount of panic these past two days in the gold sector, but for gold itself, this has been an orderly and expected 1st Daily Cycle retracement. Looking at the chart below, the drop under the 10dma, over 3 to 5 sessions, is normal as gold retraces back towards the last breakout area.

The problem really is within the silver and miners charts, they are showing a full 100% retracement of the Cycle.  If the more volatile miners are leading indicator, then of course this does not bode well for gold.  But as this is the 1st DCL, I still believe that we’re probably seeing a flush of long positions before gold moves higher in the 2nd Daily Cycle.

 

8-26 Gold Dailyu

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