Gold Trading: Mid-Dec Buy Signal Portends Initial Rally into Late-Dec/Early-Jan.
12/22/21 Weekly Re-Lay Alert – “Buy the Rumor (in Gold, Silver, Euro, etc.), Sell the Fed”
Gold & Silver both rallied sharply after ‘bearish’ Fed news was digested (and regurgitated) at the same time price and time indicators projected an intermediate bottom. Both declines matched the magnitude and duration of their respective Sept ’21 sell-offs – powerfully confirming the ~7-week low-low-(high) Cycle Progression that helped pinpoint the Nov 15 – 19 peaks.
The Nov 15 – 19 highs continue to project a future multi-week high for Jan 3 – 7, ’22 – fulfilling a ~7-week low-low-high-(high) Cycle Progression…
If a peak is set at that time, it would project a more significant top for Feb. 21 – 25, ’22 – the ensuing phase of that ~7-week low-low-high-high-(high) Cycle Progression. That overlaps the time when a 17 – 18 month high (Aug/ Sept ’17) – high (Feb ’19) – high (Aug ’20) – high (Feb ’22) Cycle Progression recurs and should time a larger-magnitude peak.
There is another (technical) reason that Gold was/ is expected to undergo a new, potentially strong, rally from mid-Dec into early-Jan. If that were to occur, it would match the 22 – 25 day average of previous sharp rallies that began in late-March (from pivotal range-trading support at 1680), late-June (from pivotal range-trading support at 1760), early-Aug (from 1680) and late-Sept (from mid-range-trading support at 1720).
In Dec. ’21, Gold is expected to surge for ~3-weeks (22 – 25 days) into cycle highs on Jan 3 – 7… from pivotal range-trading support (1760). Both Gold & Silver triggered outside-week/2 Close Reversal buy signals on Dec 17 – reinforcing the outlook into early-Jan ’22…
A surge into month-end would also complete Intra-month V Reversals higher (high at start of month, low mid-month, higher high at month-end) and likely trigger some carry-over buying into early-Jan. This comes right after Gold held its weekly 21 & 40 Low MACs as both averages are turning back up – helping to pinpoint the time and place for a secondary bottom.
Daily closes above 1815.7/GCG & 23.06/SIH will confirm. Both are closing near their respective daily 21 High MACs as those averages are poised to turn higher in the next 1 – 2 days. That would add another level of bullish confirmation. Silver just turned its daily trend up – corroborating that outlook.
The XAU & HUI are in similar positions after spiking down into mid-month and to monthly support levels with the XAU also attacking its monthly HLS (extreme downside target for Dec ’21) at 117.13 last week. Since it simultaneously held monthly support (118.42 – 121.80/ XAU), these indexes are in the prime position for a surge into month-end and into early-Jan (as part of a larger, overall advance).
Their weekly trend patterns reinforced that and the XAU just turned its daily trend back up, further validating the bullish outlook into early-Jan. If they can now rally above, and close above, 133.58/XAU & 260.34/HUI (Dec 1 highs) – they would complete Intra-month V Reversals higher and project follow-through upside.”
Gold & Silver surged from multi-month cycle lows in late-Sept (weekly, monthly & yearly cycle low convergence) into Nov 15 – 19 – when daily & weekly cycles peaked while projecting future highs for Jan 3 – 5 and then a higher high for Feb 21 – 25 ‘22. Gold bottomed near pivotal support (~1760/GC) and should rally into late-Dec with some carry-over buying likely in opening days of Jan ‘22. A precise 7-week low-low-high-(high) Cycle Progression peaks on Jan 3 – 5, ’22 whereas a corresponding 48-day low-high-(high) Cycle Progression projects a peak on ~Jan 3 (and then a higher high on ~Feb. 21).
What Would Jan 3 – 5 Peak Project for 1Q ’22?
Are Gold & Silver Poised for Larger Advances??
Refer to latest Weekly Re-Lay & INSIIDE Track publications for additional details and/or related trading strategies.