Gold & XAU Attack ~2-Month Targets
Gold & XAU Attack ~2-Month Targets;
Dollar Drop Impacting Markets.
Equities Poised for Multi-Month Peak!
01/24/18 Weekly Re-Lay Alert:
“Gold & Silver surged to new highs with Silver showing signs of breaking out of the consolidation it began on Jan. 3/4. However, it still needs a weekly close above 17.325/SIH to reverse its weekly trend to up. As metals have entered the time for an initial peak, volatility is increasing in line with recent Dollar action.
They began the week with Silver spiking down to its daily HLS (16.76/SIH) while testing weekly support & the weekly 21 Low MAC (16.73/SIH) as it corrected almost 40% of its initial advance. That coincided with the daily trend pattern in the XAU, which signaled the likelihood for an additional spike high.
Silver then rallied on the heels of Gold. Gold is nearing its weekly trend pattern objectives – a rally back to & above 1365.8/GCG (Sept. peak) on a 1 – 2 month basis…
The XAU twice neutralized its daily uptrend and then gave an outside-day/2 Close Reversal buy signal on Jan. 22 – projecting a spike to new highs and up to its January objective at 93.04 (monthly LHR) – 93.06 (monthly 21 High AMAC).
It then spiked to a new low, tested & held its weekly 21 Low MARC support, and gave another, overlapping outside-day/2 Close Reversal buy signal on Jan. 23 – powerfully reinforcing the first signal. Today’s action fulfilled those signals, producing a surge to its daily LHR and to within a few ticks of the Jan. upside targets.”
Gold & the XAU triggered new (short-term) buy signals to begin the week and are now attacking their 1 – 2 month upside targets at 1365.8/GCG & 92.87 – 93.0600/XAU. A multi-week peak is expected and could coincide with a reversal lower in the overall equity markets (DJTA has already signaled reversal lower) in line with 5-month Cycle Progression. Dollar action could exacerbate.
See Weekly Re-Lay & INSIIDE Track for additional analysis and/or trading strategies.