Why Gold Could Have Another 15% Downside (GLD)

Share This Article
August 9, 2018 6:14am NYSE:GLD

gold-chain2

From Chris Kimble: Seven years ago this month the Power of the Pattern suggested that “Gold could be flat to down for years to come!” 


What did we see 7-years ago that would suggest Gold was about to struggle for years to come? The Swiss Franc for years to seems to influence the price of Gold and it was testing the top of a 20-year rising channel where it was creating a monster bearish reversal pattern at (1).

If you look back, the Franc and Gold both peaked together back in 2011 at (1).

The multi-year decline in Gold and the Franc have both testing long-term support at each (2). With the trends for both being down, this support test looks to be one of the most important in the past 15-years!!!

Keep your eyes glued to the Franc because if it would break strong support at (2), the decline could be large because….Long-term rising channel doesn’t come into play until around 15% below current prices!

The SPDR Gold Trust ETF (GLD) rose $0.09 (+0.08%) in premarket trading Thursday. Year-to-date, GLD has declined -7.07%, versus a 7.40% rise in the benchmark S&P 500 index during the same period.

GLD currently has an ETF Daily News SMART Grade of B (Buy), and is ranked #1 of 34 ETFs in the Precious Metals ETFs category.


This article is brought to you courtesy of Kimble Charting Solutions.


Read Next



Get Free Updates

Join over 50,000 investors who get the latest news from ETFDailyNews.com!

Most Popular


From Our Partners


Explore More from ETFDailyNews.com

Free Daily Newsletter

Get daily ETF insights from our market experts. Never miss another important market development again!

ETFDailyNews.com respects your privacy.

Best ETFs

We've rated and ranked nearly 2,000 ETFs and ETNs using our proprietary SMART Grade system.

View Top Rated ETFs

Best Categories

We've ranked dozens of ETF categories based on relative performance.

Best ETF Categories