Wednesday, January 17, 2018

#Gold Review $GLD

Gold Review
Those that view the message of the market on daily basis are likely confused by trading noise. While trading noise contributes to the long-term trends, it does not define them. Human behavior tries to explain trading noise as a meaningful trend. This confuses the majority which, in turn, contributes to their role as bagholders of trend transitions.

Gold's overall trend, revealed by trends of price, leverage, and time, are defined and discussed in the The Matrix for subscribers.

Subscriber Comments

Primary trend (LeadM) alignment defines a power multi-month rally since 5/1/2016 (see The Matrix). Traders follow these trends as long as alignment and TIME permit.

The cycle of TIME, a comparisons of alignment (upside or downside) against all previous impulses in the form of Z-Scores, adjusts the risk of the trade. BuST readings above 1.96, for example, suggests that the impulse is longer than 95% of all past observations. Traders buying or selling when BuST or BrST climbs 2 are betting on the greater fool theory, a poor long-term trading/investment strategy.


Daily (Tertiary) Trend = Upside Alignment, The cycle of TIME = 0.1
Weekly (Secondary) Trend = Consolidation
Monthly (Primary) Trend = Upside Alignment, The cycle of TIME = -2.3

The best rallies or declines come when the daily, weekly, and monthly trends agree or align. This setup is called triple alignment.

Gold, a trend transitioning from cause building to mark up, is nearing triple upside alignment. Bulls buy triple upside alignment.

Follow me on Twitter or facebook for further discussion.

These trends are defined in The Matrix for subscribers.


Market-driven money flow, trend, and intermarket analysis is provided by an Insights key.