Gold - Aurum - No.79

Global Markets Commodities Oil and Gold
21

Seems it was the right decision not to stay short. There just wasn’t enough conviction in the price movement yesterday to suggest a good follow-through. Now I am waiting for the next signal…

Hi @1odi! Firstly, a little reminder that as far as Gold trading goes, I am a complete novice and December is my orientation period! So I don’t have anything to say yet that should be taken seriously! :joy:

In general, I don’t trade mechanically and so I am always looking for the context around the commodity. Not just because it helps but also because I am interested in the markets per se.

In yesterday’s case I was looking for some follow-through from Friday’s biggish break downwards. But normally with such moves I look for something like a 50% retracement for my entry together with a move back into my EMA bands and then a drop back below the band. In this case I could have entered at the close of the previous bar, but I missed it!

But the follow-through was so mild and slow that it didn’t remain convincing and I closed out when we were around last Friday’s lows.

This kind of market is not pleasant. I don’t really have any kind of longer term view of where Gold should moving, if anywhere! :wink:

22

Hi @zrrsys,

Thanks for the chart!

One of the big benefits and interesting things about BP is the opportunity to see how other people approach their trading and charts.

One thing that seems noticeable from the Gold Daily chart is how often (at least in recent times) the daily candle has very long wicks and small bodies. This suggests a lot of intraday activity goes on (presumably primarily driven by the futures markets) without a great deal of change on the day by the close.

This is probably something to keep in mind if trading/watching lower TFs like 4H and 1H and not get drawn into conclusions from brief spurts up and down.

I must admit, from what I have seen and read so far (which is very little), I am not sure that I feel comfortable with this commodity. But I will give it to the year-end and then decide whether to up the stakes to normal trading levels.

Thanks again :smiley:

23

you are welcome

24

I ended up selling an exploratory short yesterday which, since price hardly moved the rest of the day, I have kept open overnight and is still sitting at right between the current bid/offer.

At times yesterday, price was so static that I had to check whether I was still connected or not.

But not surprising ahead of CPI and Fed rate decision/press conference later today, since we have already seen how sensitive Gold is to the USD value.

My chart set-up is still only mildly negative, which would normally suggest “Go and look at something else”, but I will just let this run and see what happens until I get a reverse signal or exit - but low optimism on this one!

2019-12-11 Gold 1H
2019-12-11 Gold 1H927×911 13.5 KB

25

actually i m looking at gold in a positive way, meaning i m expecting it to go up, u have a 4hr sloping upwards channel, and a daily triangle type of thingie representative of the range we re currently experiencing, and keeping in mind that on monthly and weekly we re in an uptrend, daily retracement should be over soon. that s only from a technical standpoint, not taking in consideration china trade war etc

1 Like
26

I don’t disagree with you on that view. That is why I am not optimistic for any downside here. But I am in a testing mode month and I am just keeping a very small position open thoughout the month in order to have something to evaluate at the end of it.

I am becoming very disinterested in this commodity. If I have to follow the USD and stock markets in order to get a view on Gold then I may as well just stick to currency and index trading!

I am not finding any individual add-on value from Gold as a commodity and, to be honest, reading background history about gold mining, slavery, and the various goldrushes is far more mentally distressing than positively inspiring, so I actually doubt that I am going to see this trial month to the end.

the only reason I expanded from currency trading was the start of the Brexit uncertainty. Both Oil and SP500 were refreshing and rewarding, but I am not getting the same feel from Gold at all - I am forcing myself to stay “interested”!

But since Brexit is likely to be decided very soon, then I am probably likely to return to GBP and EUR after the holidays.

Gold seems to be mostly associated with greed and corruption, neither of which are attractive attributes…

27

your reading far to much into this imho. do u have to know how the remote control operates in order to watch tv? its somewhat a stupid analogy but my point here is that u only gonna get paralised by looking so much into things rather then just focusing on just trading what s the current movement (keeping in mind the higher TFS trend obviously). unless u r planning on becoming an investor an keeping a position open for years, then u should not care so much about… knowledge is good and history as well but what s ur goal? just how i look at things from a trading standpoint. cheers

28

This is entirely a personal issue for any trader.

For me, it is an important aspect that I am interested in the actual commodity or country or currency that I am trading. That is why I don’t ever trade Asian instruments because they mean nothing to me personally.

Oil is a fascinating industry albeit nowadays progessively non-environmentally friendly.

The Us markets, both currency and industry, are so vast that there is something for everyone there.

But Gold is cold - and apart from some small industrial applications and jewellery, is totally useless, just sitting somewhere. As, I think, Warren Buffett, said of gold: “We dig it up from one hole in the ground and then store it in another hole in the ground” :roll_eyes:

I have never traded just for the sake of trading. It is a lifestyle that opens windows on all sorts of global issues and events. Without that side of it, I wouldn’t trade at all. And that is the reason why I don’t trade cryptocurrencies either- they have no “body”.

There is so much more to life than just how many pips up or how many pips down. Most of that, of course, is outside the trading environment totally. But for me, my trading also has to inspire and interest me - in addition to the obvious immediate objectives of successful TA.

But if I were to only focus on trading the direction, with no interest in the underlying product, what possible reason is there for looking at anything new?

But, like I said, these are issues personal to each trader and we are all different! :smiley:

29

https://www.myfxbook.com/forex-charts/XAUUSD,D1/97109

30

If you are going to post your charts here then I would appreciate you at least adding some personal comment. This thread was not intended just for your personal advertising…

31

boy that is 180 degree from yesterday nice comment
are you ok

I was not advising
as to the comment
the chart speak for itself
you got support lines and resistance lines

32

No, it does not - it might speak to you but all it says to me is a mess of lines!

I think the least you can do to explain WHY you are posting a chart here instead of just plonking it down!

For example, what you are seeing there and what it means to you, what duration, what factors, - otherwise it is just wasting space.

33

ok man

have a nice day

1 Like
34

Thanks, you, too! :slight_smile:

35

plotting some indi on a chart after price moved and pretend that u knew beforehand it s just misleading newer traders, unless some analysis is posted with that chart explaining etc…hindsight is a beautiful thing!

36

Well, in a way, that is my point. Not so much because of “misleading” people but that posted charts, in my opinion, should illustrate a point being discussed, whether it is direction or trends or volatility or what factors are moving the market etc, etc.

We all have our chart set-ups and are often looking at different things and these are good to share together with the rationale behind them, otherwise there is little value in being here, I think! :smiley:

37

if you are referring to my posts well That not what i do
check all my posts and see for yourself
Yes it is true that my charts are aimed at more experienced traders who know how to see patterns, trends , support and resistance lines
as to giving you comments , I am not a fortune teller
if a person wants to be a trader he or she should have an eagle eye so he or she can take advantage of any graphics he or she sees in the chart
per example
when i posted this link
https://www.myfxbook.com/forex-charts/XAUUSD,D1/97109
gold was kissing that resistance line
and now gold is being rejected
making a sell with a sl by the resistance line was my message

38

And that is a fine example of what I am hoping posters would add by way of explanation why a chart is given. That is all!

Personally, my aim with this thread,as I have said, is just to see how my existing approach lends itself to Gold as a new commodity for me. Not to seek new charts from others. But, along the way, it is just additional interest to see how others approach the product.

But I think that clears the issue so maybe we can move on?

39

let s move on

40

Well, fortunately, it was a token position only and got stopped out. So no chips with the burger tonight! :smiley:

That brings my net result since starting this experiment to just above zero. Not very inspiring compared with SP500 so far! So I am thinking I will terminate my interest here. Taking all things into account, this is not my thing - Gold doesn’t inspire me one little bit in any sense (unless of course anyone feels like donating some of the real stuff! :rofl:.)