Gold Daily Chart Review $1375 Or Bust!

Do you love choppy charts? Well, we have our share of wild moves in this gold market. I may have to change my wave 1-2 in Minor to an “ABC” also in Minor degree. At this time it’s not an important issue, as either way that $1375 price, should still get hit and or exceeded.

Since the late 2016 bottom gold has produced higher lows which is the conventional description of a bull market still in progress. The wild market action in gold in the last month or so, sure suggests a potential correction has taken place. The $1304 price level has been holding, so next week should tell us more.

February’s gyrations could just have finished so gold could see another leg up.  Gold also left a nice spike in its wake, so that also adds to a potential reversal. From the December gold bottom, gold soared $120, which I add onto the $1304 bottom. This ends up at the $1424 price level. If this happens then it may take all of March to play out.

All those that are complaining that the fundamentals in the stock markets haven’t changed, then you are not paying attention to Trump conducting a trade war! President Trump has declared tariff wars on steel and aluminum imports. The bears have tons of fundamental reasons for the markets to crash now. Conducting a trade war at the record stock market peaks of bull markets, is sure to bring down the house.

The last time they crashed the markets with a trade war, was when they past the Smoot-Hawley Tariff Act of  June 1930!

Smoot–Hawley Tariff Act – Wikipedia