Gold Trading: Reactive Bounce (2 – 3 Weeks) into early-Nov. Underway; Weekly Trend Portends New Decline to Follow! XAU Diverges.

10/26/19 Weekly Re-Lay: “Gold & Silver have begun to rally, initially validating the weekly trend patterns in both.  In mid-October, Gold turned its weekly trend down – a lagging and confirming indicator that usually times an initial 1 – 2 month low and ushers in a reactive, multi-week bounce.

It did that right as it was testing and holding a key level of 1 – 2 month support – its steeply-ascending weekly 21 High MAC.  Coinciding with that, Gold fulfilled its 1 – 2-month downside target (a combination of multiple indicators and wave projections) by dropping to 1462 – 1467.0/GCZ.

Gold had retraced as far as it should if it was just a normal correction (and not a multi-month decline).  All of those factors reinforced the likelihood for a multi-week bounce… The daily 21 MACs are poised to turn up as well, reinforcing the potential for this rally to last into Nov. 4 – 8…

The XAU rallied after fulfilling its 18 – 19 week low-low-low-(low) Cycle Progression, attacking its intermediate downside target at 86.00 – 86.80/XAU (low was 86.84/XAU), and bottoming on Oct. 16 – 17 while perpetuating an 11 – 12 trading day high-low-low-(low) Cycle Progression.

While bottoming, the XAU twice neutralized its weekly uptrend and then reversed higher (without turning that weekly trend down).  All of these factors signal a multi-week (likely a multi-month) bottom and the onset of a new multi-week advance.”

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Gold fulfilling projections for multi-week bounce from mid-Oct., expected to stretch into Nov. 4 before reversing back down.  XAU providing divergent signal that argues for mid-Oct. low to hold longer – and spur a rally into early-Dec. and back up to late-Aug. peak.

What Does Weekly Trend Signal Bode for Gold in Nov./Dec. 2019? 

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