Gold & Silver Vulnerable III

Gold & Silver Vulnerable III
Silver Holds Resistance; Precarious Period
XAU Sell Signal Projects New Drop

 

11/29/17 Weekly Re-Lay Alert:

“Gold Stocks (XAU, HUI) have remained under pressure since early-Sept, on track for an ultimate drop to 77.50 – 78.50/XAU before a 1 – 2 month bottom becomes more likely.  (And that decline is part of the larger-degree decline projected from the early-Feb. peak that set the stage for an intra-year high.)…

The XAU could not reach its downside target in early-Nov., signaling that would only be a 1 – 2 week low and that lower lows were still likely in late-Nov.  In the meantime, Gold & Silver have desperately tried to rally but have been unable to follow-through to the upside.  They rallied into daily cycles on Nov. 17 and have wallowed since then.

With November nearing completion, the XAU gave a daily trend sell signal on Nov. 24 (after rebounding & twice neutralizing its daily downtrend, but failing to turn that trend up) – projecting an imminent drop to new lows.  That was occurring at the same time Gold & Silver were entering a very precarious time after failing to elevate their 2 – 4 week rebounds to anything larger.

Silver had attacked – and held – monthly resistance during each of the first 4 weeks (including Nov. 1 – 3) of the month and re-entered its weekly neutral trend on Nov. 24 – elevating the precarious nature of this time frame.  Gold & Silver have sold off – as the XAU dropped to new lows and closer to its downside target – but could set multi-week lows in the coming days…

Gold briefly spiked higher on Nov. 27, completing a ~30-degree rally from its Oct. 27 low and testing monthly resistance as well as weekly resistance & the weekly 21 High MAC.  Silver remained weaker & could drop to a synergistic combination of weekly HLS levels – at 16.255 – 16.315/SIZ…

The XAU just fulfilled its daily trend pattern by spiking to new lows, remaining weak and on track for a test of 77.50 – 78.50/XAU.  The early-month peak reinforced this downside target range, creating an Intra-month PHHS (which will become the monthly HHS in Dec.) at 77.71/XAU.

A multi-month low is still expected in Nov. (or Dec.) 2017 – the latest phase of an 11 – 12 month low-low-low Cycle Progression.”

 

Gold & Silver have failed to break through resistance and are looking more precarious as the XAU projects another decline.  The weekly trends are the key (in Gold & Silver).

 

See Weekly Re-Lay & INSIIDE Track for additional analysis and/or trading strategies.