Let’s stroll through a few relevant events from before & after I published the May 12 Daily Charts.
First up, on May 9 ‘Your Fired’ FBI Director Comey …
On May 15 the Washington Post used an anonymous source claiming POTUS gave the Russians information they shouldn’t have…
That same evening, the USD Dollar began to break down through a 3 year Trendline support area & 50 EMA. You can read my article and here is the chart…
On May 16 the Comey Memoblowout convinced Democrat Representative Al Green to stomp out to the House floor on May 17 and call for the Impeachment of POTUS. A semblance of lickety-split sanity was concurrently taking place where Democratic Leaders Tried to Slow Calls to Impeach Trump…
“They wanted the president gone on November the 10th of last year,” Mr. Durbin said. “I want to make certain that we follow the law, follow the Constitution, and do it in an orderly way and not to get into a crazed political crusade at this point.”
Thinking Impeachment? Take a deep breath…
“The more those impeachment proceedings appear to be rushing to judgment or driven by partisanship, the less credibility they ultimately have. The Clinton and Nixon examples offer crucial lessons about the importance of slowing down and ensuring that the public is confident that the gravity of the alleged conduct warrants the extraordinary and fundamentally undemocratic remedy of Congress removing the president from office.”
Unfortunately, some crybaby politicians are still too busy sucking pacifiers to think about taking a deep breath.
Meanwhile, Gold caught tailwinds from a USD Dollar breakdown and ‘yuge’ 1 minute volumes spiked the Gold price up through the 50 EMA on the Daily Chart. But first, here are those 1 minute buy volume spikes on May 16…
And, if you hadn’t followed the ‘ArabNATO’ news flow over the weekend and today, the following two visuals along with the “United States and Israel will never allow Iran to have nuclear weapons” article should suffice…
Onto the Gold Daily Technical Chart, as of today’s 8pm EDT candlestick close…
On May 12 I stated…
“We have the technical conditions for a Pivot upwards, but the rest of the world and its issues must line up with the stars for a sustained bullish move.”
So we have a nice Pivot taking place off of a third tap on the lower Trendline of an Ascending Broadening Wedge. The Technical’s were obvious, poor economic data continues to dominate headlines, we’ve had Bullard rocking Yellen’s china shopby questioning current Interest Rate policy, TrumpTheJacksonian came through to help line up some stars with domestic &
geopolitical volatility, and most importantly the overhead 50EMA Exponential Moving Average was breached decisively with a little help from the USD breakdown that began on May 16.
On May 12 we closed at $1227.83. As I type this, price is knocking on the door of a recent Inverse Head & Shoulders Neckline price level of $1263. Going forward I expect the Trendline drawn down from the 2011 High to be challenged. The price point has lowered to a Fibonacci level at $1278.
Plan Your Trade, Trade Your Plan.
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[Written for CrushTheStreet.com 2017-05-22 by TraderStef]