3000 is a possibility in this Gold breakout, especially as long as resistance-turned support at 2694-2709 holds and this is a new primary cycle after that 90.00 break from 2708-2618 Sep 27-Oct 10. Solar-lunar air-air did not produce sharp sell off this week, which is another sign bull run is still on.
Pullback early this week in Gold and Silver after last week’s breakout to new highs? This week begins with the last air-air solar lunar combination of the Libra season.
There is usually at least one of these 3-4 combos correlating with a sharp but brief sell-off (Which we have seen Yesterday) when the Sun is in an air sign, and the previous lunar air signs did not produce that sharp of a sell off so far.
Yesterday's selloff held the breakout of former resistance (now turned support) at 2694-2709 in Gold? If this is a new primary cycle and breakout, new highs are still ahead and any decline into this support zone represent buying opportunities with reasonable stop losses based on risk tolerance.
Opportunity is that higher prices still likely within next 1-3 weeks. Danger is that once high is in, 50-week cycle low time band also still in effect thru December and especially by late Nov.
You can make a trading plan with these timing factors in mind.
And yes, it’s possible 50-week cycle skips a beat this time. That happens with 15-20% frequency. Our strategies, however, are based on historical frequencies of 80% or more.
Would be nice if any studies were 100% as novice traders and analysts would like to believe of their work. But markets have a way of teaching humility and the need for emotional detachment thru experience on the path to becoming a successful trader or analyst. In other words, if you miss one by following your plan, don’t take it personally. If you start missing more than you hit, your plan isn’t working and you need to re-evaluate that plan.
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