In the gold, we're getting a good correction, it's down right now. Big deal, 1.4% for the week before you got to look at it and it was down here too, a little bit 2.65%. So overall, a normal break of 5% percent in the market. Nothing major there.
The market's moving in a stepping ladder, just think of stairs. The market is marching down in price, at this point in time, the pattern was broken. You now have a higher high and lower low. Gold stepped out of an uptrend where the market had been fighting. The battle is where I told you what I call the line in the sand.
I'm going to repeat it over and over to you. I think that the neutral zone (like a DMZ between North and South Korea) is the 18-day moving average of closes. When you're under it often – I wish I could tell you it's all the time but often that'll be resistance. When you're over, breaks to it are normally the support zone is the market first gets over it and tries to figure out what to do. When looking back at it, that's where you're at. Could the market drop all the way down here?
Yes. But that's not likely. More likely is the first challenge of the Bollinger Band, and you're there for all purposes against the $2300 level. That's how I'm looking at the market. In terms of momentum, you're already an oversold territory. So what has changed hasn't really changed. Inflation is still rampant. The labor markets are still strong.
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Over the past 35-years Ira Epstein has developed a reputation for providing clients with easy to use technology and teaching good old fashioned trading know-how. A number of our brokers have over 30-years trading experience. No matter how technology changes the methods of entering orders, there's no replacement for having "been there and done that before". It's the blend of services that brings things together.
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Ira began in the futures markets in 1969. Over the years he worked his way up, starting from the ground up as a "floor runner" culminating with his becoming a Floor Trader. In the mid 1970s Ira decided to make a career shift within the industry to develop both retail and commercial based clientele. His customer base grew to the point whereby in 1984 he founded "Ira Epstein & Company", a trading firm specializing in retail, commercial and self-directed discount futures trading. Along the way Ira became a leader in trading technology out of necessity, due to increased small lot trade volume. He was among the first to embrace the Internet, which as you know has dramatically changed both the way information is delivered and how trading takes place today.
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