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Ending The Year With A Whimper

Published 01/03/2016, 04:10 AM
Updated 07/09/2023, 06:31 AM
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Lots of chop for markets as we wound down a so-so year.

Setups are forming and traders will return this coming week so volume will pick back up and if all goes well, leading stocks will begin to breakout higher with markets following as this bull market continues on.

The metals continue to act poorly and do not yet look to have put in their major lows, but they are getting closer to major support.

We’ve done well over the past 3 months nailing the waves up and down doing swing trading, since that’s all that Mr. Market has given us.

Hopefully the new year will give us a more sustained move but we just have to wait and see about that.

Either way, we will be making some money, it’s just a matter of how active we have to be to do so.Gold Daily Chart

Gold lost 1.42% in the last week of 2015 and remains in it’s range.

$1,080 remains a major resistance level with $1,060 and $1,050 acting as support for now.

The $1,000 level is the major, major support level that must be tested before we can consider a major low being in place.

So, gold kicks off 2016 with the same bearish tone its had all of 2015.

Silver Daily Chart

Silver lost 3.86% and seems to be wanting to lead the charge lower, but we did just see silver try to lead gold lower and it has not been acting right so it’s hard to have faith in this attempt, for now.

If silver breaks $13.75 then we should get some nice acceleration to the downside but gold does need to be moving lower as well or chances are the move lower isn’t quite ripe to go.

Platinum Daily Chart

Platinum gained 1.03% but is now right at a solid resistance level at $900.

Support is below at $860.

We will get a much better feel for things once volume/traders return next week but it’s been a nice, relatively quiet two weeks with choppy action.

I always take it easy when markets are not setup and it was nice to have that happen over the holidays this year.

Palladium Daily Chart

Palladium rose 0.49% last week and is also now up at resistance.

As always platinum and palladium follow silver and gold so we watch them for clues.

I haven’t, and do not plan on trading the metals until they become the leading sector at some point in time.

There is always a place where the money is going and I identify those areas, and trade the best stocks and chart setups within those groups.

There is almost always a place to make money so I do not get stuck in one sector if there is no money to be made in it.

The trading game is about making money, not being right or righteous in views, but many gold bugs cannot get over that fact and continually lose money.

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