Most Popular
1. Banking Crisis is Stocks Bull Market Buying Opportunity - Nadeem_Walayat
2.The Crypto Signal for the Precious Metals Market - P_Radomski_CFA
3. One Possible Outcome to a New World Order - Raymond_Matison
4.Nvidia Blow Off Top - Flying High like the Phoenix too Close to the Sun - Nadeem_Walayat
5. Apple AAPL Stock Trend and Earnings Analysis - Nadeem_Walayat
6.AI, Stocks, and Gold Stocks – Connected After All - P_Radomski_CFA
7.Stock Market CHEAT SHEET - - Nadeem_Walayat
8.US Debt Ceiling Crisis Smoke and Mirrors Circus - Nadeem_Walayat
9.Silver Price May Explode - Avi_Gilburt
10.More US Banks Could Collapse -- A Lot More- EWI
Last 7 days
Keep Calm and Carry on Buying Quantum AI Tech Stocks - 19th Feb 24
How to Profit from the Global Warming ClImate Change Mega Death Trend - Part1 - 17th Feb 24
Why Rising Shipping Costs Won't Cause Inflation - 17th Feb 24
Intensive 6 Week Stock Market Elliott Wave Training Course - 17th Feb 24
INFLATION and the Stock Market Trend - 17th Feb 24
GameStop (GME): 88% Shellacking Yet No Lesson Learned - 17th Feb 24
Nick Millican Explains Real Estate Investment in a Changing World - 17th Feb 24
US Stock Market Addicted to Deficit Spending - 7th Feb 24
Stocks Bull Market Commands It All For Now - 7th Feb 24
Financial Markets Narrative Nonsense - 7th Feb 24
Gold Price Long-Term Outlook Could Not Look Better - 7th Feb 24
Stock Market QE4EVER - 7th Feb 24
Learn How to Accumulate and Distribute (Trim) Stock Positions to Maximise Profits - Investing 101 - 5th Feb 24
US Exponential Budget Deficit - 5th Feb 24
Gold Tipping Points That Investors Shouldn’t Miss - 5th Feb 24
Banking Crisis Quietly Brewing - 5th Feb 24
Stock Market Major Market lows by Calendar Month - 4th Feb 24
Gold Price’s Rally is Normal, but Is It Really Bullish? - 4th Feb 24
More Problems in US Regional Banking System: Where There's Fire There's Smoke - 4th Feb 24
New Hints of US Election Year Market Interventions & Turmoil - 4th Feb 24
Watch Consumer Spending to Know When the Fed Will Cut Interest Rates - 4th Feb 24
STOCK MARKET DISCOUNTING EVENTS BIG PICTURE - 31st Jan 24
Blue Skies Ahead As Stock Market Is Expected To Continue Much Higher - 31st Jan 24
What the Stock Market "Fear Index" VIX May Be Signaling - 31st Jan 24
Stock Market Trend Forecast Review - 31st Jan 24

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

Precious Metals Under Seige?

Commodities / Gold and Silver 2021 Feb 23, 2021 - 04:34 PM GMT

By: Rambus_Chartology

Commodities

Lets start with the daily bar combo chart for the PM complex which shows the August trading range still under construction making lower lows and lower highs for the most part.


Below is the daily bar PM combo chart showing the possible H&S tops. Over the last couple of weeks most of the PM stock indexes have formed a small blue consolidation pattern right around the neckline with most of them breaking out to the downside today. The thumbnail on the right side of the chart shows a breakout gap yesterday in most cases.

Below are some charts for the HUI that are pretty self explanatory.

This long term weekly chart shows the HUI in backtest mode to the top rail of its 2016 triangle reversal pattern around the 250 area. What complicates things is the H&S top that has formed above the 2016 triangle. Technically the top rail should be strong support but with the H&S top just above it there could be some strong downward pressure. How many remember the 2016 H&S top that came out of nowhere to reverse that impulse move?

The best outcome for the HUI would be if the August expanding falling wedge finds support on top of the 2016 triangle.

The top rail of the 2016 triangle reversal pattern comes into full view on this long term monthly chart for the HUI which technically should hold support. What you don’t want to see is important trendlines fail as that is a sign of weakness. So far nothing is broken.

This last long term chart for the HUI is its history chart which shows its secular bull market and all the consolidation and reversal patterns it has formed since 1996. To say the 250 area is an important area of support is an understatement. For those that are so inclined to do some bottom fishing this would be a pretty low risk environment using the top rail of the 2016 triangle as your line in the sand, above is bullish and below is bearish. As I already have my profits locked in I’m content to watch the price action for awhile and see what develops. When in doubt be more cautious.

All the best

By Rambus Chartology

https://rambus1.com

FREE TRIAL - http://rambus1.com/?page_id=10

© 2021 Copyright Rambus- All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.

Rambus Chartology Archive

© 2005-2022 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in