PHYS and PSLV Update – 30 Mar

 

The real gold bullion ETF is still in consolidation mode building a substantial base between 12.40 and 13.00. The short term trend is still down, making lower highs and lower lows. The intermediate trend is also down but with a sideways and consolidating bias. The high of the day bounced off of resistance at 12.65 while the low found support at the Fibonacci 38.2% retrace level of 12.47. Strong support lies just below there at 12.42. RSI is dead neutral and stochastic now is indicating an over-sold condition with the fast line below 20. 12.42 was previous resistance and once breached became support. Price has bracketed this level since February and I think this is the floor. This would be a great area to buy the fucking dip BTFD.

PSLV, the real silver bullion ETF continued higher after putting in the swing low 2 days ago. Price penetrated resistance at 17.29 which now becomes support. The all time high of 18.20 remains as resistance overhead. It appears that price is going to bracket between the lower channel of the Andrew’s Pitchfork. RSI and stochastic indicators have worked some of the over-bought condition off but remains fairly extended. Silver just refuses to break down. BTFD has rewarded those who are brave and understand that real silver supply is severely impaired, with plenty of paper silver to go around.

The longer term perspective shows how strong this market is.

The Elder Impulse chart shows another blue bar and that will paint green if tomorrows MACD histogram bar is bigger than today’s. A green bar is the green light for entry into long positions. I jumped the gun today and bought at 17.27, anticipating the green bar tomorrow. I have a stop below the swing low at 16.78

 

 

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