Gold seems to be forming a bottom here, as you can see where I have placed the cyan arrow on the chart below. We now have weekly buying volume and that has pushed the price up to the Hawkeye Trend dot (illustrated by the magenta arrow) where it has found, as it usually does, resistance.
However, the close was way above the open, and in the top 40% of the range of the bar which is bullish. BUT gold is still in monthly and weekly downtrend. However, this does look like the start of accumulation.
More clues here in the daily chart above, that accumulation has started. The cyan arrow shows several setups:
- Daily buying volume.
- Heatmap is bright green telling me that all 3 trends are to the upside.
- The large cyan dot on the Roadkill indicator, which I have set to 2 days. However, the 2-day Trend dots are still red.
- Trend on price in uptrend
This is not a long yet, but a termination of the daily downtrend. The weekly is still in downtrend and the 2-day Roadkill trend is still red – so no trades.
But put gold on your radar. Accumulation is taking place. Be patient, a new uptrend will develop.
Now, all of this (and much more) is demonstrated in our FREE training room every Wednesday at 9am Eastern, by my colleague Randy Lindsey.
So, I cannot encourage you enough to come along to the Wednesday room.
Please contact us at [email protected] for any questions you might have about using Hawkeye Indicators in your trading!
[The cyan and magenta arrows are included for illustration only and do not form part of the software]