Gold watch 01-29

What is going on with gold?  Took a look at PHYS and did some projections. First I started with the Money Flow Index daily. I drew a line at the Jul 21 low on the MFI. Then I selected the peak at Oct 13. Then I drew a third line equal the distance Jul 21-Oct 13 as a pivot projection. As you can see that fell at Jan 7 ( a short term low). This illustrates the ability of MFI to project into the future.

I then did a weekly MFI chart for PHYS. I selected the MFI low at week ending Sep 17 to draw a line. Then I drew a line at MFI top week ending Dec 30. Then I projected an equidistant the Sep 17-Dec 30 span from Dec 30 into the future to week ending Apr 1. This is a projected pivot point for PHYS.

Finally I looked at the cycles (and projected the dominant cycles into the future). As you will see this projects cycle bottoms into the Apr 1-Apr 8 time frame. So the expected pivot in early April should be a bottom.

Time will tell if these projections work out, but two different approaches project the same time frame for a pivot (bottom). Thought you would want to add this information to your data points when considering investments in gold.

GL traders.  Be sure to do your own analysis.