• Gold futures market context: bearish trend confirmed with closing price at $2331 and key levels at $2306 and $2369.
  • Action plan includes short and long positions with profit targets and stop losses, considering potential trend shift on June 30, 2024.
  • Risk management strategies focus on position sizing, stop losses, and cycle considerations to optimize trading decisions.

Weekly Trading Strategy for Gold Futures

Current Market Context:

  • Gold Futures Closing Price: $2331
  • 9-day SMA: $2361
  • VC Weekly Price Momentum Indicator: $2345
  • Key Support Levels: $2306, $2282
  • Key Resistance Levels: $2369, $2408
  • Cycle Due Date: 6/30/2024

Weekly Trend Momentum

  • Bearish Momentum: The market closing below the 9-day SMA of $2361 confirms the weekly trend momentum is bearish. The market needs to close above this level to negate the bearish trend and turn neutral.
  • Bearish Price Momentum: The market closing below the VC Weekly Price Momentum Indicator at $2345 confirms the bearish price momentum. A close above $2345 would change the trend to neutral.

Trading Levels and Actions

  1. Profit Taking for Short Positions:
    • Target Levels: $2306 and $2282
    • Action: Take profits on short positions when the price corrects to these levels.
  2. Long Position Entry:
    • Entry Levels: $2306 and $2282
    • Action: Consider going long on a weekly reversal stop at these levels.
    • Stop Loss: Use $2282 as a Stop Close Only and Good Till Cancelled order if you enter long positions.
  3. Profit Taking for Long Positions:
    • Target Levels: $2369 and $2408
    • Action: Take profits on long positions if the price reaches these levels during the week.

Cycle Consideration

  • Next Cycle Due Date: 6/30/2024
    • Implication: Significant market movement or trend change might occur around this date. Monitor the market closely as the date approaches.

Detailed Actions Based on Market Movements

If Already Short:

  1. Monitor Correction Levels:
    • Take Profits: At $2306 or $2282 if the market corrects to these levels.
    • Adjust Stops: Move stops to ensure profits are protected as the price approaches these levels.
  2. Evaluate Long Entry:
    • Weekly Reversal Stop: If the price shows signs of reversing at $2306 or $2282, consider entering long positions.

If Already Long:

  1. Set Profit Targets:
    • Target Levels: $2369 and $2408.
    • Take Profits: If the market moves towards these resistance levels, take profits on long positions.
  2. Set Stop Loss:
    • Stop Level: $2282 as a weekly Stop Close Only and Good Till Cancelled order to limit losses if the market moves against your position.

If Looking to Enter New Positions:

  1. Short Entry Consideration:
    • Bearish Bias: Given the bearish momentum, look for short entry opportunities if the market fails to close above $2345 or $2361.
    • Profit Targets: Aim for $2306 or $2282 as short-term profit targets.
  2. Long Entry Consideration:
    • Reversal Opportunities: Enter long positions if the price shows a strong reversal signal at $2306 or $2282.
    • Profit Targets: Set profit targets at $2369 and $2408 for any long positions initiated.

Risk Management

  1. Stop Losses:
    • Short Positions: Use trailing stops to lock in profits and protect against unexpected price reversals.
    • Long Positions: Set stops at $2282 to limit potential losses.
  2. Position Sizing:
    • Conservative Approach: Given the bearish trend, consider smaller position sizes for long entries to manage risk effectively.
  3. Regular Monitoring:
    • Market Conditions: Keep a close watch on gold market trends, news, and VC PMI updates to adjust your strategy as needed.


  • Bearish Trend: The current trend is bearish, with potential for further downside towards $2306 and $2282.
  • Short Positions: Look to take profits on shorts at key support levels.
  • Long Positions: Consider entering long positions at reversal points and target higher resistance levels for profits.
  • Cycle Impact: Be aware of potential market changes as the next cycle date (6/30/2024) approaches.

This structured approach will help you navigate the gold futures market for the upcoming week, leveraging the insights from the VC PMI and key technical levels. Adjust your strategy based on market developments and the performance of your trades to optimize outcomes.

Disclaimer: The information in the Market Commentaries was obtained from sources believed to be reliable, but we do not guarantee its accuracy. Neither the information nor any opinion expressed herein constitutes a solicitation of the purchase or sale of any futures or options contracts. It is for educational purposes only.