text_combined: goldeditor charting gold dummies interview reinhard goldeditor charting gold dummies interview reinhard www goldeditor com week gold broke new 16 year highs great time get favorite technical guru richard reinhard editor growth stocks weekly give us thoughts price gold know expectations cause heartbreak goldeditor interviewed reinhard explains simple detail mega trend bullishness gold technical point view ask fundamentals could go forever sit front fire enjoy goldeditor emphasize charting aka technical analysis making investment decisions reinhard technical analysis separates emotions logic completely logical expectations prices would change quarterly reports relevant news released would make investing easy technical analysis ta process analyzing security historical prices effort determine probable future prices compare current price action current expectations comparable historical price action predict reasonable outcome small minority technicians consistently accurately determine future prices however even unable accurately forecast prices technical analysis used consistently reduce risks improve profits price security represents consensus one person buying another selling price investor willing buy sell depends primarily expectations expects security price rise buy investor expects price fall sell ta based almost entirely analysis resulting price volume evidenced via chart picture truly worth thousand words think security prices result head head battle bull buyer bear seller bulls push prices higher bears push prices lower direction prices actually move reveals winning battle support resistance areas form strong emotions occur penetrated change investor expectations shift supply demand lines type change often abrupt news based often emotional trend represents consistent change prices changing investor expectations trends differ support resistance levels trends represent change whereas support resistance levels represent barriers change use ta essentially observing clues actions crowd allows divorce feeling somewhat clinically position anticipate actions act either ahead counter crowd providing much timely higher probability basis investment decisions ta provides basis frame reference using logical consistent approach minimizes risks maximizes opportunities investors spend time looking easy money easy search instead learning key factors security prices supply demand goldeditor different technical indicators use measure interpret reinhard moving averages one oldest popular technical analysis tools representing average price security given time many indicators exist beyond simple explanation including several favorites fibonacci retracements relative strength index balance volume good book ta explain clearly students markets basically three distinct types classes indicators provide insight 1 external monetary conditions affecting security prices tells us security prices 2 sentiment various sectors investment community tells us investors expect prices 3 current momentum market tells us prices actually goldeditor thoughts mega trend us dollar reinhard us dollar secular bear market open financial newspaper watch financial news channels without hearing dollar bear trend became technically apparent early 2002 like mirror image gold price lift yet press typically provided little coverage us dollar us index finally breaking 85 support recent weeks gold breaking us 430 435 resistance clearly starting next big upwave gold markets looking somewhat like rabbit road staring oncoming headlights frozen disbelief fear confusion lag gold stocks symptomatic trends accelerate away key resistance gold support us areas likely rush undecided resulting accelerating trend surprise mainstream several technical reasons many fundamental reasons major us interim bottom likely trend nowhere near approaching ultimate end technically us dollar index trading high downtrend near resistance overhead resistance building wall see graphically visit www gsweekly com course dollar needs periodically bounce fear would get hand technical bounces normal part major downlegs bleeding excessive fear rebalancing investor sentiment make mistake seeing slow motion crash us dollar key remember major commodities denominated us dollars world de facto reserve currency dollar falling need dollars buy oil wheat steel commodity commodity prices across board responding dollar weakening gold particularly strong correlation effectively currency alternative gold broken 16 year highs metals following suit aluminum selling multi year highs copper lead silver nickel grain prices surging right long term direction dollar choice gains beginning click usd index chart goldeditor simplify long term technical story behind gold reinhard late 90 gold sank 260 ounce dow headed 12 000 hindsight best possible time leave roaring tech boom party reposition likely considered trade decade buy gold one problem one ringing bell gold hit historic bottom april 2001 gold hit 21 year low near 250 similar lows 1999 thereby forming double bottom sentiment understandably negative headlined high profile central bank sell offs predictions sub 200 gold fairly typical gold chose darkest hour turn new secular bull market starting get mainstream recognition easy focus day day ripples intermediate waves secular direction tide really determines big money made big picture perspective continues set tone somewhat unique early stage well pedigreed small cap resource sector investment focus ta monitors supply demand key elements determine price long demand exceeds supply prices rise long term fun equilibrium price fair ways away status quo many reasons believe case global gold supply grows incrementally year difficulty huge capital costs required bring new gold deposits market gold relatively small market demand shift leads magnified price adjustments especially unlike typical commodity gold unique store value key secular gold bull demand supply private investors generate buy sell gold market represents 80 gold ownership collective gold transactions millions even billions individual investors worldwide buying selling gold ultimately set price perversely investment world higher price investment climbs greater demand becomes virtually one wanted anything gold near 250 years ago anyone around late 1979 january 1980 witnessed madness crowd gold rapidly accelerated peak 850 per ounce key understanding market bubble distinct parabolic curve understand shifting investment demand life secular bull higher investment price attention attracts higher demand grows higher investment price goes virtuous circle gold ultimately store value money far simply appreciating counter devaluing us dollar many currencies euro commodity based canadian dollar also appreciating strongly relative us dollar gold starts appreciating foreign investors home currency perspective maybe result government determination remain competitive competitive devaluation lowering interest rates rush gold accelerate click three year gold chart goldeditor many people said gold critical level 430 reinhard gold often repulsed overhead supply price point although number 430 particular significance well north resistance usually met earlier year enthusiastic gold investors financially bagged gold largely uninterrupted run january 2001 250 area double bottom came abrupt halt january 13 2004 426 corrected 390 ran 427 april double top plunged 375 area short order course caused magnified volatility amongst junior gold stocks looking back area marked january 1996 peak january 1990 top january 1987 resistance even late 1979 correction breakout ultimate 850 secular peak whatever reason demand seems meet supply area course market always right october 25 2004 gold closed 429 key close highest since february 1990 high close 424 interestingly gold barely pulled back last 3 weeks low 424 2 days fact trading consistently 430 progressively higher closes since november 4 today close november 16 439 40 spell stealth breakout goldeditor 430 big support level reinhard 425 area built significant support last month significant breakdown area would course cold shower gold market causing small amount painful readjustment leveraged portfolios offside investors liquidate interestingly extended bought market fact many traders gold bugs would faded key resistance zone sold price entered resistance area reason old resistance becomes new support breached decisively trader remorse well known phenomenon market traders sold investors missed run even anxious establish positions hoping see price come back afraid chase price goldeditor gold broken good reinhard yes gold broken trend unlikely change time trend remains intact broken right fundamental technical perspective convinced setting run test 480 500 area goldeditor think next major resistance level reinhard visit gold long term chart shows 430 area cleared next resistance met around 500 720 historical based several distinct data points separate time lending confidence level ongoing significance 500 also large round number psychological aspect goldeditor investor psychology affect charting patterns technically reinhard key observations investors need consider 1 price represents fair market value agreed buyers bulls sellers bears 2 changes price result changes investor expectations security future price 3 support levels occur consensus price move lower point buyers outnumber sellers 4 resistance levels occur consensus price move higher point sellers outnumber buyers 5 penetration support resistance level indicates change investor expectations shift supply demand lines 6 volume useful determining strong change expectations really 7 traders remorse often follows penetration support resistance level prices retreat penetrated level means sellers feel stupid sold want back goldeditor technically speaking think critical level gold hold bull market remain intact reinhard one looks 4 year chart effectively covering double bottom early 2001 full move first phase new secular bull market clear channel plotted bounds higher lows higher highs parallel trend lines today break bottom trend line would need see price break 390 area still exists major support old resistance band around 375 level break established uptrend would negate bull market breakdown major support would put jeopardy effectively lows april 2004 would need breached downside goldeditor gold stocks breaking price gold reinhard actually gold stocks breaking achieving new highs along price gold probably several reasons major one investor reluctance buy price perceived top trading range done psychology change gold price leaves range behind investors start believe upside bitten twice shy memory strong fear need overcome greed another factor consider record amount financings last year long suffering juniors took advantage first wave load treasury relatively cheap prices lot paper needs absorbed hui gold share index gained 600 last 3 1 2 years investment managers retail brokers missed market typically bull market first phase marked denial one different time phase two progresses point average people start become aware accept real see serious professional capital inflow sector senior companies become fully overvalued anticipation gold continued rise natural migration investment capital undervalued intermediate junior sectors takes three five years find decent discovery another several years build mine quick way catch lack exploration development 1997 2002 resource slump position perceived value mean buying deserving early stage opportunities pay road resources scarce competition investors funds mining companies foreign countries become intense somehow supply increases point demand met unlikely occur several years goldeditor buy strictly technical behaviors combine technical behavior fundamentals reinhard need many scams market manipulations technicals orchestrated compelling likewise fundamentals often manipulated remember bre x effort deceive least bre x technicals would stopped even story remained compelling never good idea ignore one entirely although make choice technical analysis good money management discipline one needs make consistent returns goldeditor biggest trading rule e never average first loss always best lost etc reinhard rising tide raises ships vice versa assess tide ships honorable mentions served well patient rattled fluctuations left hope get never catch falling knife cut losers let winners ride bear markets begin good times bull markets begin bad times draw trendlines stock downtrend go long visa versa learn one candlestick pattern learn doji top trend contrarians correct turning points market wrong rest time goldeditor books recommend beginning trader reinhard technical analysis financial markets comprehensive guide trading methods applications john j murphy trading living psychology trading tactics money management alexander elder financial reckoning day surviving soft depression 21 st century william bonner reminiscences stock operator edwin lefvre goldeditor richard thank insights price gold sure technical expertise helped many subscribers better investors going update six months look forward talking unsubscribe publication please click box gold editor po box 48451 bentall centre vancouver bc v 7 x la 2 canada