Gold | Silver | Forex online daily trend | alerts | Updates: June 3rd, 2011

Gold (XAU/USD):
  • Bought (Long) gold at USD 1490/ounce (18th May 2011)
  • Maintain long position for gold; 
  • Close position if gold spot price close below USD 1470/oz (support at 50 DMA (daily moving average)); exponential moving average preferred.
  • NFP (non-farm payroll) report result on Friday., actual result lower than expected. Bearish for USD but bullish factor for gold.
Silver (XAG/USD):
  • All silver positions closed.
  • Stand aside awaiting new entry signal (uptrend) for silver price to close above resistance at 20 DMA (daily moving average)); exponential moving average preferred.
  • Change for Silver (XAG/USD) for the past 5 years = +198%; averaging at 40% per year.
  • Change for Silver (XAG/USD) for the past 1 year = + 100%; therefore, silver is over-priced at the moment.

Gold investment FAQs

Q: Should I buy gold now?

A: If the price is high, sell if you have a lot. If the price is low, buy if you have little. 'Buy the dip' and 'sell the rip'. If the price falls below your support line (depending on your trading style), stop buying. For beginners, its better to start from a long term perspective. Close positions if gold price close below support line (support at 100 DMA (daily moving average)); exponential moving average preferred.

Q: If the price is high or the price is trending up, should I buy?
Buy the dip.

A: Buy if you have little or buy during the dip. Sell half if you have a lot.

Q: If the price is trending down, should I sell?
You could close positions if gold price close below support line (support at 100 DMA (daily moving average)); exponential moving average preferred. Sell half if you have a lot.

Q: Keep unless you really need the cash.

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