Today's interesting charts
David Fuller's view Gold
daily) bounced from the lower side of
its range today and generally shows stronger upside than downside days within
the current sideways pattern since mid-May. This suggests accumulation in the
region of the September and December 2011 lows but a sustained break above $1650
is required to provide further evidence that a major recovery is underway.
The Continuous Commodity Index (weekly & daily) found psychological and lateral support near 500 and has almost completed a mean reversion back to the declining 200-day MA. The strength of the initial rally and ability to hold most of those gains during the present pause suggests that demand still has the upper hand.
The S&P 500 Index (weekly & daily) checked its latest pullback with an upward dynamic today, suggesting scope for a further test of overhead trading established earlier this year. A break in the sequence of higher reaction lows since early June is required to negate the overall upward bias.