Gold is responding well to the Bernank and his management of the impending failure of the dollar and the global monetary system surrounding it. Although the daily Elder Impulse chart is still painting a blue bar, I have bought the fucking dip (BTFD). Essentially I am viewing the last 2 days as a test of the breakout zone around 13, anticipating success. Resistance will come in at the all time high of 13.75. If you focus on the histogram bar for today you will notice it is exactly the same height as yesterday. If it increases a small amount and exceeds yesterday’s bar, then the price bar will turn green. This means that both the histogram slope and the 13 day EMA slope is positive and indicates that long positions should be initiated.
The hourly Elder Impulse chart is painting green bars and is ahead of the daily chart. Whenever you utilize and Elder chart for an entry or exit, always utilize the the next smaller scale for specific triggers. If you trade a daily chart, go down to the hourly chart for the trade signal. Remember, a green bar signals entry to long positions only if price is above the 65 EMA (blue) and should be ignored until it is. In this case price climbed above the 65 hour EMA earlier this morning. The same applies to short trades and red bars are only honored when price is below the 65 EMA.