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February 03, 2012 3:19:34 PM PST

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Articles and Commentary

Gold Chart Unfolds
By Chris Vermeulen
April 4, 2010

I hope everyone had a great weekend and Easter Holiday! This is quick update as its Easter Sunday and it's a time to relax with the family. Below is a chart and my thoughts on what I am looking for in the coming days and weeks.

Gold Exchange Traded Fund - Daily Chart
As you can see the price action of gold has been trading within a few patterns the past couple months. First we saw a nice ABC Retrace correction and now it looks like a possible reverse head-and-shoulders or wedge pattern is forming. All three of these patterns are bullish but resistance must be overcome before I will start putting my money to work.


Weekend Trading Conclusion:
As I mentioned last week, the market is over extended as we enter earning season. The market is in the same situation as we saw going into the January earning season. I do not think we will have a huge pullback but I think a 3-5% correction is likely in the coming days or week. Once we get a pullback we should see support around the 30 or 50 day moving averages and then see the market head toward new highs once again.

The precious metals sector is getting a lot of attention because of the whistle blower on JP Morgan stating that metals are seriously manipulated with a huge amount of short positions still in place. I think this could be helping this sector and I hope we get a low risk setup in the coming week or two.

If you would like to receive my ETF trading signals, please visit my website: www.TheGoldAndOilGuy.com.


TheGoldAndOilGuy.com is owned and run by me (Chris Vermeulen), an individual gold trading specialist. After sharing my gold analysis with friends, traders and financial advisors, I decided to make TheGoldAndOilGuy.com my full time job in 2003. This service was designed from the ground up to help individual traders who want to focus on consistent, accurate and profitable trades. Over the past ten years my strategy has been refined to one golden trading vehicle which has an almost 100% accuracy. The GLD (DGP and DZZ) gold exchange traded funds are now the most accurate trading vehicle I have seen, so it's my vehicle of choice. Members of TheGoldAndOilGuy.com not only get to trade my signals, but see my live trading charts and ask me all the questions they wish. My goal is for all of us to make money and have fun in life.


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