Gold & Silver Enter Consolidation; Remain Poised for Add’l Upside into Late-Jan/Early-Feb.  How Does This Action Corroborate 2019 Outlook?  

Gold & Silver Enter Consolidation; Remain Poised for Add’l Upside into Late-Jan/Early-Feb.  How Does This Action Corroborate 2019 Outlook?  

01/09/19 Weekly Re-Lay Alert – Dollar Decline Phase I: “Gold & Silver remain positive but have fulfilled almost all that was expected from the late-Nov. buy signals.

Gold spiked above 1290/GCG as Silver attacked 16.00/SIH and both rallied into Jan. 2 – 4, the convergence of Gold’s 6 – 7 week low-low-low-low-(high) Cycle Progression, Gold’s 10-week low-high-(high) Cycle Progression and Silver’s daily cycles.

Both are hovering below last week’s highs but would not show any signs of near-term weakness until daily closes below 1278.1/GCG & 15.490/SIH.

Both metals maintain the potential for some additional upside into late-Jan./early-Feb., with or without a significant setback in the interim.

1 – 4 week traders could have been long Feb. Comex Gold futures from an avg. of 1217.6 and exited 1/2 at 1284.5/GCG w/avg. gains of ~$6,600/ contract and 1/2 at 1278.8/GCG w/avg. gains of ~$6,100/contract.

The XAU is seeing a spike high and could make it up to 73.52 – 73.60 where the weekly 21 High MARC converges with weekly resistance. If that is seen in the next 1 – 2 days, it would still allow for a pullback into a secondary (higher) low on Jan. 14 – 18, the next phase of a ~9-week/~60-degree high-low-low-(low) Cycle Progression.

1 – 4 week traders could be holding long positions in XAU related vehicles (options, GDX, gold stocks, etc.) from when the XAU was trading at 65.30 down to 62.90.  Risk/exit those positions on [reserved for subscribers].  TRADING INVOLVES SUBSTANTIAL RISK!  Exit 1/2 of these if/when 73.30/XAU is hit.

Gold, Silver and Gold/Silver Index (XAU) are signaling 2 – 3 weeks of congestion from their Jan. 2 – 4 peaks, with a potential intervening low on Jan. 14 – 18.  That should then yield another rally into late-Jan./early-Feb. when slightly larger-degree cycles peak.

Refer to latest Weekly Re-Lay & INSIIDE Track publications for additional details and/or related trading strategies.