The daily chart shows price yesterday making a
slightly higher high but lower low and lower close versus Monday's candle as
price made a multi-day high and closed just below MD MA support. Price today
has opened below its daily pivot and is currently testing the MD MA from below.
With price on the downside of the multi-day cycle,
the big question is whether yesterday was also a multi-week and even a
multi-month high, or whether we will see another MD cycle before those highs are
seen. If the MW and MM high are not yet in, price should rally and close back
above the MD MA today and continue its upward march toward upper channel (and
July/August congestion) resistance. If yesterday was also a MW (and likely MM)
high, price should likely test at least the green MW MA before finding its MW
low projected for 10/16. If the multi-year low is still in front of us, price
should take out the August low by the mid-November MM low projection. In any
case, a favorable risk/reward for shorting is present with a stop loss above
yesterday's high.
The hourly chart shows price making a slightly
higher 24Hr high at noon yesterday and finally selling off down to the MD MA. A
lower low was seen overnight, so I have marked yesterday as a multi-day high; it
is likely but not certain that the overnight low was a 24Hr low, since price is
now finding support on the gold Session MA and testing the 24Hr MA. If we are
still on the downside of the MD cycle, price should find resistance at the 24Hr
MA or daily pivot for its 24Hr high by noon and then trade lower throughout the day and
take out the overnight low.
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