Gold - Weekly Continuation (Log Scale)

$1,425/oz

This ridiculously well-defined trend channel continues to remain intact. Longer term bulls should remain vigilant of the key support point at $1,425 or any break of the uptrend. Though, $1,425 should be considered as more important than the trend line--its a level which really stands out on this chart.

Andys Technical Commentary__________________________________________________________________________________________________

Gold June Futures: 120 min. with Weekly Support and Resistance
Last weeks wave count gave us the correct short term direction on Gold. Were now closing in on an (a)=(c) target at $1,552/oz. Its probably time for the day trading longs to be punching a ticket out of this market. The bias is that that this move higher is a -b- wave of yet another triangle; so, there should be a better buying opportunity when the -c- wave hits.

-b-

REPRINTED from 5/30/2011

(a)
[b]

(c)

[d]

[e]

(b)
[a] [c]

-a-

Andys Technical Commentary__________________________________________________________________________________________________

Gold AUG Futures: 120 min. with Weekly Support and Resistance
A few weeks ago, it was pointed out that Gold was approaching the conclusion of a -b- and that it would be prudent of short term speculators to punch out and wait for a better opportunity. At this point, it does seems like were now in the middle of -c- wave lower that should take the yellow metal back to $1,500. Im expecting lower price action this week.

-b[c] [b] [a]

(y)
[e]

(b) (w) (x)

[b] [a] [d] [b] [d]

(x) (a) (c)

-c[e]

(y)
[a] [c] [c]

-a-

(w)

Andys Technical Commentary__________________________________________________________________________________________________

Silver July Futures: 120 min. ~ The Bullish Count

Top

Both the bullish and bearish counts last week suggested a bounce higher in Silver. Today, only the bullish count will be highlighted. It looks like the a wave of a triangle concluded at $34.30. The current b wave should take this market back to the mid $40s. Major support is now $34.30 while major resistance lies just overhead at $39.50.

REPRINTED from 5/30/2011

-x(a)

(b) (d)

-w(a)

(c)

(e) -y-

Andys Technical Commentary__________________________________________________________________________________________________

Silver July Futures: 120 min. ~ The Bullish Count

Top

Interestingly, Silver has remained within our key support and resistance levels for the last three weeks. The previous slide (from May 30th) highlighted the bullish count for a move to the mid-40s. While that count is still possible, it seems more likely, though, that were seeing the kind of development highlighted below, which would be bearish. If a triangle -b- has concluded, then Silver should witness a pronounced sell-off over the next few weeks. The bulls MUST get this market back above $37.86 to regain any sort of upper hand. A break below $34.30, our support level for the last few weeks, would look ominous. Day Traders who want to short this market should consider $36.54 as first level of resistance. That would be 61.8% of the move from 37.86 to 34.40

(a)

(c)

-b(e)
37.86

(d)

34.40

-a-

(b)

Andys Technical Commentary__________________________________________________________________________________________________

WTI Crude Oil: 120 min. ~ The Bullish Count

Top

The other reason Silver bulls should be worried is the remarkable similarity the chart has to the WTI Crude market right before it fell apart last week. There is a band of support for WTI between $92.50 and $95.00. The -a- = -c- target, though, is far below at $82/bbl. Gasoline should be cheaper right after the summer driving season is over!

(a) (c)

-b(e)

(2)

(d) (1) (b)

-a-

(3)?

Andys Technical Commentary__________________________________________________________________________________________________

PLEASE NOTE THAT THERE IS ADDITIONAL INTRA-WEEK AND INTRADAY DISCUSSION ON TECHNICAL ANALYSIS AND TRADING AT TRADERS-ANONYMOUS.BLOGSPOT.COM

Wave Symbology "I" or "A" I or A <I>or <A> -I- or -A(I) or (A) "1 or "a" 1 or a -1- or -a(1) or (a) [1] or [a] [.1] or [.a] = Grand Supercycle = Supercycle = Cycle = Primary = Intermediate = Minor = Minute = Minuette = Sub-minuette = Micro = Sub-Micro

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This report should not be interpreted as investment advice of any kind. This report is technical commentary only. The author is NOT representing himself as a CTA or CFA or Investment/Trading Advisor of any kind. This merely reflects the authors interpretation of technical analysis. The author may or may not trade in the markets discussed. The author may hold positions opposite of what may by inferred by this report. The information contained in this commentary is taken from sources the author believes to be reliable, but it is not guaranteed by the author as to the accuracy or completeness thereof and is sent to you for information purposes only. Commodity trading involves risk and is not for everyone. Here is what the Commodity Futures Trading Commission (CFTC) has said about futures trading: Trading commodity futures and options is not for everyone. IT IS A VOLATILE, COMPLEX AND RISKY BUSINESS. Before you invest any money in futures or options contracts, you should consider your financial experience, goals and financial resources, and know how much you can afford to lose above and beyond your initial payment to a broker. You should understand commodity futures and options contracts and your obligations in entering into those contracts. You should understand your exposure to risk and other aspects of trading by thoroughly reviewing the risk disclosure documents your broker is required to give you.