Is Gold Ready to Move Higher?

By: J.D. Rosendahl | Wed, Mar 17, 2010
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Below is the daily chart of GLD. The chart reflects an inverse head and shoulders pattern in development. The measured target is $123, which will also cover the chart gap at $117-118.

Since GLD has yet to break above the neckline, we have no confirmation of the pattern. Also, the right shoulder could take several more days to complete. We have low volume on the right shoulder, which is a good preliminary indicator. We'd also want to see the RSI and AMCD turn up and support a break out with ideally an increase in volume. All things to keep our eyes on!

Hope all is well.

 


 

Author: J.D. Rosendahl

J.D. Rosendahl
http://roseysoutlook.blogspot.com

J.D. Rosendahl is not a registered advisor and does not give investment advice. His comments are an expression of opinion only and should not be construed in any manner whatsoever as recommendations to buy or sell a stock, option, future, bond, commodity or any other financial instrument at any time. While he believes his statements to be true, they always depend on the reliability of his own credible sources. Of course, we recommend that you consult with a qualified investment advisor, one licensed by appropriate regulatory agencies in your legal jurisdiction, before making any investment decisions, and barring that, we encourage you confirm the facts on your own before making important investment commitments.

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