1. last quarter of 2021 - gold and index are correlated due to money printer and good news about the end of covid
2. Printing money stopped. Inflation continues to rise. Index fell. Gold and commodities rose.
3. Trends from #2 are continuing throughout the whole first quarter in 2022.
4. Index has 3 strong resistance levels.
5. Gold has 3 strong support levels and only one resistance - current ATH.
6. Since the beginning of the year the fundamentals have not changed.
7. More bad news, supporting current trends, have been added - war in Ukraine and Covid in China.
CONCLUSION: either trend is continuing from now onwards or the prices will consolidate above support and below resistance levels and then continue the trends.
TRADE IDEA: build positions: LONG GOLD, SHORT SP500. Blue lines - STOP LOSSES.
2. Printing money stopped. Inflation continues to rise. Index fell. Gold and commodities rose.
3. Trends from #2 are continuing throughout the whole first quarter in 2022.
4. Index has 3 strong resistance levels.
5. Gold has 3 strong support levels and only one resistance - current ATH.
6. Since the beginning of the year the fundamentals have not changed.
7. More bad news, supporting current trends, have been added - war in Ukraine and Covid in China.
CONCLUSION: either trend is continuing from now onwards or the prices will consolidate above support and below resistance levels and then continue the trends.
TRADE IDEA: build positions: LONG GOLD, SHORT SP500. Blue lines - STOP LOSSES.