GLOBAL TRENDS WEEKLY

GOLD: Weekly Standard Deviation Report

Date Published: October 17, 2024
Author: Patrick MonteDeOca

Gold Futures Weekly Trading Strategy Summary

Weekly Trend Momentum

  • Closing Price: The gold futures contract closed at 2730.
  • 9-Day SMA: The market closing above the 9-day Simple Moving Average (SMA) at 2622 confirms a bullish weekly trend momentum.
    • A close below the 9-day SMA would shift the short-term trend to neutral.

Weekly Price Momentum

  • VC Weekly Price Momentum Indicator (VC PMI): The market closed above the VC PMI at 2707, confirming that the price momentum is bullish.
    • A close below the VC PMI would negate the weekly bullish short-term trend and turn the momentum to neutral.

Weekly Price Indicator

  • Short Trades:
    • Profit-Taking Levels: If short, take profits at 2677 and 2623.
    • Consider switching to long positions on a weekly reversal stop after taking profit on shorts.
  • Long Trades:
    • Stop-Loss Level: Use 2623 as a weekly Stop Close Only and Good Till Cancelled (GTC) order to manage risk.
    • Profit-Taking Levels: Take profits if the price reaches 2760 to 2791.

Cycle

  • The next cycle due date is October 30. Be aware of increased market volatility or trend changes around this date.

Strategy Summary

  • If Short: Look for profit-taking opportunities between 2677-2623. Consider going long on a weekly reversal stop signal after taking profit.
  • If Long: Place a stop-loss at 2623 and aim to take profits as the price reaches between 2760-2791.

This trading strategy capitalizes on the confirmed bullish momentum indicated by the 9-day SMA and VC PMI levels. It provides clear guidance on taking profits based on specific levels, adjusting positions if key support/resistance levels are breached, and considering potential market shifts around the upcoming cycle date.

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.