TECHNICAL STATE OF THE GOLD August 19 2014

Deepak SinghTwitter id: @smarket

Phase: THE GOLDEN PERIOD

Gold prices moved up 6x between August 2001 and August 2011.

Prices moved up from $270 to $1900

Phase: EVERYBODY LOVES GOLD

Gold after huge gains of 10 years consolidated gains for 20 months with

support at 1550. The level of 1550 touted as mouthwatering.

Does market reward overhyped dreams?

In Sep 2012: Gold dream was getting sold to investors

Phase: The crowded boat overturned

Market always surprises and just when everyone was dreaming of $5000 on Gold –

the Gold cracked below 1550 and saw a vertical fall to 1200.

Phase: Everyone confused on Gold

The dreamers have not given up but now the overhyped bullish talk has evaporated. Gold has settled between 1200 and 1400

Phase: HIBERNATION – Lots of Noise but no Action

Trapped in $100 range on daily chart. Gold has gone completely silent

WHAT NEXT FOR GOLD

www.stateofthemarket.net

What next for Gold prices?

When asset has broken down, then hoping for upturn is just HOPE

After 10 years of rally – there can be 10 years of no

action too

There can be more panic if Gold breaks down below

1200. Gold can then collapse to unimaginable

levels

Gold above levels of 1550 will indicate first sign of REAL TURNAROUND?

Watch out for Panic if there is breakdown below 1200 and some turnaround talk above 1550. Between this: It’s all talk and status quo

www.stateofthemarket.net

Thank You

• Disclaimer - The state of the market presentation is Deepak's perspective on the market. The presentation is purely for educational purpose. Nothing contained herein is a solicitation to trade or a recommendation of a specific trade. By reading this presentation you agree to make no trade relying in whole or in part on the comments of the writers

• Chart Source: Chartalert.com

• If you have any question about the presentation: send me an email at 2deepaksingh@gmail.com or tweet responses to @smarket