A strong open following a better than feared GDP report. Early strength soon gave way to a retracement back to intraday supports. Prices stabalized midday and saw a steady, but choppy push back towards the ORH. I'm calling it a consolidation day. The bulls defended support and that feels good given recent late day sell-offs.
The VIX is still holding the trendline but the MACD has signaled a retracement with today's crossover.
The USD found support at the 20 MA and printed a doji-like stick which signifies indecision. Still on track for further retracement.
The price of gold stalled out at resistance and printed a bearish tweezer, but gold stocks have carved out a bullish candlestick reversal pattern called 3 advancing soldiers. In so doing they closed above the downsloping trendline.
2 comments:
Jamie,
What do you mean by when you say that the MACD has signaled a retracement? Does it means that the market may be bullish in the next few days?
The charts of Gold and USD - how do you use them the next day in your trading?
Susan,
The MACD of the VIX crossed over signaling a retracement in the VIX which, for all intents and purposes, measures the fear in the markets. If fear declines, it is likely that money will flow back in the markets and cause prices to rise.
The gold/commodities vs.USD inverse relationship is under surveillance for possible short-term moves. The $USD however, is still showing signs of strength.
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