Technical Update: The Ultimate Oscillator

Way back in 1976, Larry Williams developed the Ultimate Oscillator and it was featured in Stocks and Commodities magazine in 1985. The Oscillator is a combination of a series of momentums which are used for timing purposes for lower risk entry points as well as exit points. We believe that we probably hit as deep an oversold position today as we had back at the beginning of this bull move in this past January. This signals a great time to add to your positions in gold, silver, and the mining shares using tight stops just below these levels as we are also hitting some very nice support levels. To list a few of those:

Symbol  Major Support 200 Day Moving Average
GLD            $ 122.00                                $ 117.03
SLV               $ 17.00                                  $ 15.65
GDX              $ 24-26                                 $ 21.55
GDXJ            $ 40.00                                $ 32.23

As you are aware, the precious metals complex has been in a correction mode since July and has gone quite a ways in working off this overbought condition. One item that has helped to slow down all commodities has been the recent strength in the US dollar. It is rare for gold and silver to rally big during dollar strength, and it is a headwind that needs to be overcome.

Because of all the unknown strife that exists throughout the world and the as yet unknown result of the US elections, we cannot rule out the dollar and gold rallying at the same time as people search for a safe currency as well as wealth preservation. We include the chart of GLD, the ETF for physical gold with the ultimate oscillator at the bottom. As you can see, this has been a great place to add to positions this past year.

YearGLD

To learn more about the rewards of precious metals investing, including how to fund your existing IRA with gold or silver, call Liberty Gold and Silver seven days a week at 888.751.3330. To learn about the most generous affiliate marketing program in the precious metals industry, please visit the Liberty Gold and Silver Affiliate Marketing Program. We're happy to spend as much time as you need to discuss the details with you.

© Copyright 2013 Liberty Gold and Silver, All rights Reserved.
Written For: Liberty Gold and Silver News Blog

This entry was posted in Gold and Silver News. Bookmark the permalink.