Like many, I am probably a closet gold bug as my heart would suggest that gold, when viewed from any perspective should rise. However, from a trading perspective, my head rules my heart and the bearish and negative outlook I have been writing about over the last few weeks for the precious metal has continued to drive the metal lower with relentless pressure as it moves ever further away from the VPOC which adds its own bearish weight.
Last week’s price action on the daily chart showed little to no evidence of any serious buying, with only Tuesday and Friday suggesting minor interest. Unlike February and March where gold made some feeble attempts to rally, we have yet to witness this in March and indeed this morning the price of gold has moved below the $1700 per ounce level to currently trading at $1689 per ounce. The area now being tested is important as it is at the extreme of the volume point of control histogram where volume falls away dramatically, and as a result, we can expect the price to move through here rapidly as there is nothing to provide any technical support, whether price-based or volume-based. The slide lower has also been given additional momentum with the recent recovery in the US dollar.
If we move to the weekly chart this gives us a broader horizon on which to judge any pause points or the next major downside destination for gold. And depressing as it may seem for gold bugs, the most likely and strongest level at which it may find good support is at the VPOC on this timeframe which resides at $1560 per ounce, so perhaps a further $100 per ounce to shed before help arrives. On its way there and extending to $1640 per ounce volume falls away on the VPOC histogram so a further another reason to expect a continuation and on both charts, the trend monitor indicator also remains bright red confirming the current picture.
By Anna Coulling
Charts from NinjaTrader and indicators from Quantum Trading
Hello Anna. I’m from Taiwan. My English is not very good. The following are all translated by Google. I hope I can express what I mean.
I am a newcomer to forex trading for about half a year. At first, I met a teacher who taught how to trade forex in Taiwan. Then I started my trading career. The road to trading was actually not smooth. Then I started to contact some books by myself and some videos on the Internet. Once in a bookstore, I saw the title of your book that attracted me, so I bought it home and studied the title of the book is and the only one in your book that has been translated into Chinese
After reading it, I was very excited and I very much agree with your views and the contents of the book. So I started to search for information about you in the Internet and entered youtube, and then Quantum trading and Quantum labs because I bought some Quantum indicators to accompany the book. The concept conveyed in it. How about the results of some videos shared with you on youtube. I think it’s not the focus now because I think I haven’t learned enough. Then I saw in the video that you are in Quantum labs or where are you anyway? There is a set of teaching courses on the website. I am very excited to buy a three-month course to take a look because I don’t know if the content is translated or can translate it by myself. It’s a coincidence that all the courses are in English, including e-books. There is no way to directly copy the words on the e-book to translate it by computer copy. After all, I know this is your copyright. I absolutely agree with it. I just think it’s a pity and sadness. But it’s not your problem. This is my own problem. People have a thing called fate. I don’t know if I can understand what I mean is that people will be together again or know each other is actually a chance. So I think I am very grateful for God’s guidance when I meet you, but there may be some in the middle. Difficulties need to break through. Like I’m watching you and Mr. David’s video analysis on youtube. I also used Google to translate it into Chinese instantly. You know that the translation must be different, but you can only understand it roughly.
In short, what I want to express is that I really want to learn from you and I really want to take the course you sent out. I don’t know if there is any way to solve this problem.
Although I know that our Asian market is very small, Chinese is troublesome
I bought the course the day before yesterday and I got a refund again. The reason is that it was really hard to see and I couldn’t understand what you really meant. I’m really sorry, but I still have a complete set of Quamtum indicators.
I really admire you and your couple so I plan to send you a letter to express my admiration for you
Maybe this kind of thing can’t be solved, but I want you to know that there is someone in the world who wants to follow in your footsteps.
I’m very grateful to you, and I’m not embarrassed. This is translated. I can only express what I mean
Sorry again
Hi Lee – many thanks and thank you for your kind words which are much appreciated. I wish we had the time to translate the program into Chinese but sadly I don’t think this will happen, but we are grateful to our Chinese publishers for translating my books into your language and for which I am extremely proud. Thank you again and wishing you every success – Regards Anna
why my MT4 GOLD weekly VPOC is on 1500 per ounce
Hi Lee – many thanks and you will need to check the lookback period on the indicator.
Thank you Anna. How much range should the data part be normal?
Hi Lee – sorry I don’t understand the question – regards Anna