We shall the jobs data fall, but what hasn't fallen is wage pressure. It's going up. Wage pressure doesn't go away so easily.
In the gold market, you're staying above the 18-month moving average of closes. As long as you stay above 1855.80, you have a bullish bias and a long, firm chart.
You then look at where you're at on a shorter-term chart. We'll go to the weekly. Lo and behold, the market's got a bearish bias.
When I look at this chart, it's not overly bullish, but it's not bearish. You have a higher high and a lower low. That is not a trend. Where is the market fighting a battle: the 18-week moving average of closes.
What would get it bullish? If you get up and close over 1989.80, that's one thing that could do it, but we're not there yet at this point in time.
The market is going sideways in the Bollinger bands, and they're starting to go neutral. From neutral, the longer they can go sideways, the bigger the ultimate move up or down. Right now there's no pattern to work with, and you're oversold at the same time.
About the author
LINN & Associates
Over the past 35-years Ira Epstein has developed a reputation for providing clients with easy to use technology and teaching good old fashioned trading know-how. A number of our brokers have over 30-years trading experience. No matter how technology changes the methods of entering orders, there's no replacement for having "been there and done that before". It's the blend of services that brings things together.
Be it education, market information or trading platforms, we provide solutions.
Ira began in the futures markets in 1969. Over the years he worked his way up, starting from the ground up as a "floor runner" culminating with his becoming a Floor Trader. In the mid 1970s Ira decided to make a career shift within the industry to develop both retail and commercial based clientele. His customer base grew to the point whereby in 1984 he founded "Ira Epstein & Company", a trading firm specializing in retail, commercial and self-directed discount futures trading. Along the way Ira became a leader in trading technology out of necessity, due to increased small lot trade volume. He was among the first to embrace the Internet, which as you know has dramatically changed both the way information is delivered and how trading takes place today.
One of the ways Ira, along with his brokers showcase their talents is through e-mails of market information and Ira's "Futures Videos", which can be viewed on our website, through Market Center, Linn-IraChart Software and on YouTube.