The US equity market may lack direction but there is no uncertainty surrounding the path of gold as market participants shift to this “safe haven” asset, explains Ian Murphy of MurphyTrading.com.
The popular ETF from SPDR (GLD) shown in red above, has been climbing relentlessly since April having gained 12.9% already. GLD is currently trading above the 3ATR channel on a daily chart and has crossed the 1ATR on a weekly chart confirming a bull market in the precious metal.
The Help strategy bull triggers from last Thursday hit their first targets (black dashed lines) but the trailing stop on each has not moved up enough yet to guarantee breakeven trades if the market sells off.
Be extra careful for the remainder of the week, confirm protective stops, and only take “A grade” setups.
Learn more about Ian Murphy at MurphyTrading.com.
