We look at the gold market on a weekly chart. It's about doing nothing here, it's up a little bit on the daily chart. It's down $11 now.
So it was up if you take a look just so you get an understanding of this. You were up $10.5 and then you are sitting here. You've just dropped $11. Remember what I just said you're marking time here, that's pretty much what you're doing. So if you're trying to make something out of nothing, you get into trouble very fast. Be careful, that's what happens to traders.
When I look at the gold this way, we still have higher lows and higher highs. The market has been unable to close over the 18-day average of closes, I use that close as my bias.
When the market is under, I have a negative bias. A negative bias says, 'Uh-uh.' You don't buy the market on buying signals because the overall bias is down. When you're over it, you're not looking to take sell signals because the overall bias is up and l have found that a good rule to work with over and over and over the years.
About the author
LINN & Associates
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.
Be it education, market information or trading platforms, we provide solutions.
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.
One of the ways Ira, along with his brokers showcase their talents is through e-mails of market information and Ira's "Futures Videos", which can be viewed on our website, through Market Center, Linn-IraChart Software and on YouTube.