Buying New Highs

 

Buying New Highs: HOW IT’S WORKING FOR GOLD

Gold2016 Our previous post with Mr. Gann’s Rules for Buying new highs has been proven yet again for the GOLD market.

In the case of GOLD, we posted on January 28th two BUY signals that were generated.

One had already taken place at the $1090 price level.

The next future BUY signal was projected at the $1150 price level.

This price was hit and so created a BUY opportunity at a new high for this cycle. Most people are too fearful to buy at new highs, however, this is where half of the greatest profit opportunities lie (the other half being selling new lows).

When buying new highs, one should follow Gann’s instructions (see my previous post).

As our BUY point already qualified according to Gann’s Rules, it was an ideal place to enter this market as this is a new Monthly trend that will have great momentum. The potential gain from the second entry point was $9200/contract and, the potential gain from the first BUY price level is over $15,000/contract to date.

All this in less than 2-months time. These short time frame moves with high gain profits again confirm my earlier writings about a handful of cautiously chosen trades offering the lion’s share of profits for the Year.