Using the 60 week moving average it is clear that Gold sees very high support at this level. If Gold were to approach and even touch this 60 week MA - my bet is it will bounce off it and it will be off to the races through april.
How can you draw conclusions from a chart in AUD when gold is priced in USD? It doesn't make logical sense. There is no AUD support level for gold. The AUD gold price is a function of the gold price and the exchange rate and while there is a correlation, they are two separate functions.
Agree with Auagau - Australian demand for gold (ie AUD exchanged directly for Gold) is so small relative to what drives USD gold and the AUD/USD exchange rate that best to do technical analysis on those two separately
Yest it closed under the 2nd support. I think we may swim closer to the last support at USD $1523 and lets hope it wont breach!
I hope not, my gold items bought for low premiums recently don't look as good anymore.... but i still love them!
Considering that the POG is set by a bunch of bankers on a conference call, and is influenced by paper promises (ETFs), I'd like to see a purely physical chart. For instance a sale thread here doesn't have problem selling $200 coins at $530 whilst spot value on those is around $466. So the disconnect of paper versus physical in my view makes the POG on the charts somewhat irrelevant. It's when the ETFs collapse that physical will go parabolic and that will be the chart to watch for. When traders are 'risk averse' and pour into the USD they are just swapping paper positions. I'd bet that they're not selling their 400oz bars of physical to buy up dollars. So whilst looking at charts is interesting from the perspective of the POG being an economic barometer to a degree, overall it has very little to do with the reality of stacking - other than the fact that physical will drop slightly at dealers who work the margins - but then again, will they have stock?
Jim Rogers mentioned that if POG down to US$1600, he will start buying again. Is this a good time? Any member buying now or wait?
If you are looking at USD gold price which everyone seems to want me to use.... http://www.financialsense.com/node/...ial+Sense)&utm_term=FSO#.T2G9otSbk_M.facebook Have a read
Yeah, and since that point the price has risen from $800 to $1600 in <4 years. They failed to mention that. You have to love chartists approach, "is x happens, then y and z might happen, but if x doesn't happen then z and y might happen - now here is a pretty picture to show that a trend line has never been broken, except once, but that wasn't a bad thing but this time it may or may not indicate either a trend reversal or a buying opportunity." Talk about taking a bet each way.
In all seriousness, that is exactly what charting is all about - determine the most likely outcome of a given scenario. Not many credible chartists claim they are reading a crystal ball. However, all stackers pretty much claim they know what is going to happen to the price of their metal.
