This chart offers a good example of a TC pattern (Trend Continuation) in the June Gold.Â After touchedÂ the ascending median line on April 12th, Gold began a corrective pull back into the April 19th reversal date and posted a low at $1124.50, whereÂ Gold found supportÂ from the up-sloping lower parallel line and the 20- day SMA. Â The reversal date confirmed the low pivot and the beginnng of a new upward leg. The price swing between April 14 and April 19 formed the TC pattern and could also be used to make the future time and price porjection that identified May 17th as the future reversal date and put the reaction line target objective at the $1250.00 price level. Gold continued the rally off the April 19th reversal date and reached a high of $1249.70 on Friday, April 14, one day before the date, projected three weeks earlier. To learn more about this type of swing trading strategies using the â€œaction-reactionâ€ method with reversal dates you can read â€œUnlocking Wealth, Secret to Market Timing.
Swing trading strategies – How to use Market Timing Intelligence to signal swing trading opportunities.
July Silver peaked at $18.89 on May 3rd, one day after the projected reversal swing date. The following day, Silver began a sharp two-day decline that dropped the price from $18.85 to $17.08. The price decline stopped inside the 60% buy window (based off the price swing from March 25 to April 12), but more importantly, Silver has plunged into a second reversal swing date. (Typically, when there are two reversal swing dates close together, the second date is the dominate swing date.) The market paused forÂ one day, after tradingÂ into the May 5th reversal date, before turning higher andÂ surgingÂ over $2.65 during the next four trading sessions. The low pivot posted on the May 5th reversal swing date marked the end ofÂ an ABC continuation pattern that falls in the center of a longer-term reaction cycle.
Currently, theÂ Silver is approaching the upper reaction lineÂ and is overdue for a much needed corrective pullback.Â The correctiveÂ pullbackÂ is needed to form the next reactionÂ swing in the cycle progression and mark the beginning of the next bullish cycle.Â Even though the market is overbought at this time the momentum could push Silver over $20.00Â beforeÂ the correctionÂ begins.
The Silver market has been very volatile lately, which in turn brings high risk as well as the potential for a high return for traders willing to take the risk. However, the foreknowledge of where and when the market may turn can help control the risk and give the astute trader a heads up to trading opportunities.
A bullish reaction swing has formed after Silver dipped down to $17.85 on April 28th. The market traded had traded through the 20-day SMA on the decline, but reversed and traded up through the 20- day SMA on Thursday. The â€œdouble crossâ€ pattern enhances the potential buy signal provided by the bullish reaction swing signal pattern. This pattern could be the precursor to a new bullish leg in the Silver. Check the newÂ issue ofÂ the Traders Market Views Swing Trade Report for updated recommendations.
Gold traded above the previous swing high ($1170.70 on April 12, 2010) at the close of Tuesdayâ€™s trading session and then backed off can closed below theÂ prior high. Wednesdayâ€™s session opens steady to slightly and traded slightly lower before surging past the pivot high for the second time. The second crossing sets the stage for a new bullish upswing into the May 5th reversal swing dateÂ with a target objective above $1215.00.
May Silver has rallied over $1.59 since posting a significant pivot low on the March 24th reversal swing date. The reversal date marked the low of the A-B-C continuation pattern and projects the longer-term cycleÂ target objectiveÂ as high as $19.00. However, Silver has reached a cluster of resistance levels, as it approaches the April 5 reversal swing date. This date is most likely a minor R swing date inside the longer-term trend.Â If Silver is stopped by the confluence of trend lines and up-sloping median lines, if could pull back into Monday's reversal date. This would form a bullish reaction swing and set up a new buying opportunity. I will be keeping a sharp eye on this market and have any new signals in the Traders Market Views Swing Trading report.
Silver has completed a 5-wave continution pattern that may mark the center of the longer-term downward cycle. The market is currently forming a bearish TR swing pattern and has retested the downward sloping parallel line as well as the 20- day SMA. A confirmation of the pattern will trigger the next downward slide to the descending median line or into the April 5 reversal swing date. I will updates and possible recommendations in the Traders Market Views.
Gold traded above the pivot high, confirming the bullish action swing and a TC pattern.Â Confirmation ofÂ the TC patternÂ portends a upward swing to the test the prior high of $1166.00 for the short-term, with a longer-term target objective at $1220.00 or higher. I will keep you updated with stop movements in the TMV Swing trading report.
A bearish TR swing pattern has triggered a sell signal at the end of an A-B-C continuation pattern. The continuation pattern should mark the center of the longer-term bearish cycle and the TR pattern triggered the sell signal at $1118.50. The reverse/forward count projects a new downward price move with target objective at $1015.00 on or before the next reversal swing date on January 29.
The RT Swing Trader confirmed a bullish TR-pattern and triggered a buy signal at $1107.40 on January 4.Â Following the buy signal, Gold traded to a high of $1141.00 on January 6. This was also the 1.618 Fib extension level. The market paused the next day and closed as an "inside day". This is where the chart pattern get very bullish. Gold dipped down to the 20-day EMA ($1119.50) early Friday morning, just before the Unemployment report was released. As so as the report was released, Gold started to climb and is currently poised to trade above the high of Thursday's "inside day". This a bullish continuation pattern and portends a run at the next target objective $1160.00.
Gold completed a bullish TR pattern, after posting a swing low on December 30. Based on the new pattern, the RT Swing Trader identified the bullish pattern and a trigger price at $1107.70. That price was reached on the January 4 to confirm the buy signal and the long entry. The swing pattern formed under the 20- day SMA, but the trigger bar closed above the SMA. This is a classic pattern sequence and portends a new bullish leg for Gold with a current target objective of $1165.00. However, the market has crossed to the strong side of the median line so the target objective may be moving up after a strong close. The market is projected to reach the target objective on or before the next reversal swing date due on January 14.