Gold Gold Daily Video, October 01, 2019

[Sive Morten]

Good morning,

Yesterday gold totally destroyed bullish scenario that we were watching in last two week. It means that major retracement on monthly /weekly chart has started:



The technical portion of Sive's analysis owes a great deal to Joe DiNapoli's methods, and uses a number of Joe's proprietary indicators. Please note that Sive's analysis is his own view of the market and is not endorsed by Joe DiNapoli or any related companies.

 

[sveckar22]

Hello Mr. Sive. I would like to give you my view on Gold and would appreciate any feedback. I agree with your view, but I think the Bulls still have a chance.

1. On the technical picture, this looks to me like an almost perfect Gartley 222 pattern, If today's bottom is indeed locked in at 1459$ this is a perfect AB = CD retracement from the top exactly to 0.618 FIB retracement, Gartley is using 0.764 in his book, so this I think it’s the only thing not making this setup perfect for his 222 Buy.
   
   
2. Looking at the COT report we still see a lot of Long positions being added, and maybe this was just a trap to get some sellers into the market although I don’t like to think in this way when trading.
   
   
3. We have a lot of important statistical releases coming out at the end of the week, and like you said many times before, they are usually interpreted as very bad because we saw average hourly earnings coming in by 0,1% lower than forecasted or previously and they go interpreted by mass media as really bad numbers, same for NFP reports. Although these numbers are indeed very good and US Economy very strong, it could provide some short term weakness for the Dollar which could let Gold complete the XOP target, or any other geopolitical tension could be brought up again.
   

This is just my personal view, as I try to study the markets and learn from you.

 

[Sive Morten]

Hello Mr. Sive. I would like to give you my view on Gold and would appreciate any feedback. I agree with your view, but I think the Bulls still have a chance.

Hi mate, bulls always have a chance, as bears
When I was talking that bullish setup is cancelled I mean our setup with weekly grabber and DRPO "Sell" pattern on weekly chart...

Yes pullback could happen and has good chances for that, including "222" that you've mentioned. We also talked about it in the video. The question stands around the target of possible upside action. "222" not necessary leads to major upside reversal, it could hit just minor 3/8 retracement target.

 

[sveckar22]

Thank you. I understand now. Sometimes I jump to conclusions too quickly.