The daily chart shows price yesterday making a
lower high and lower low versus Monday, but with price bouncing from monthly
pivot support and closing well off its lows. Price today has opened above the
daily pivot and is currently trading above the MD and MW MAs. Should price
today remain above those MAs by the close, it would indicate that we are on the
upside of the multi-week cycle and that yesterday was a MW low. Price should
then eventually bend the blue MD MA upward and ride its support into the next MW
high which is projected for next Wednesday. This would also correspond well
with the projection for next week to see the multi-month high. For this to
prove accurate, price will have to eclipse the mid-May all-time high in the next
week and change; failure to do so will indicate that the MM high was seen in
mid-May and that we are on the downside of the multi-month cycle.
The hourly chart shows price having made a 24Hr low
(and MD low) yesterday before the NY open then surging to make its 24Hr high
above the weekly pivot and blue MD MA. Price appears to have made a half-span
24Hr low (12 bars from the prior 24Hr low) just after the NY close and
has ridden the support of the gold Session MA all the way up to the green MW
MA. The 24Hr high is not due until 1pm, but the higher timeframe resistance of
the MW MA could put this high in early, just as the monthly pivot put in an
early multi-day low yesterday. Of course, price could just be pulling back to
the session MA to find support for its session low before resuming higher.
While an early 24Hr high would not be extremely bearish, failure to eclipse the
MW MA on a continuing basis would indicate that we are on the downside of the
multi-month cycle, so it is important that price break above this level in the
next day or two.
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