GLD Exhibits Upside Reversal Price Action Amid "Friendly" Underlying Conditions
On the subject of Gold, let's notice that today's up-gap open and sustained price action in SPDR Gold Shares (GLD), so far, could have left behind an "Island Cluster Reversal," which for the time being has the makings of a change in near-term trend direction.
Adding confidence to a possible Island Reversal is also the fact that today's strength has propelled GLD above its nearest-term down trendline (in the vicinity of 16.20).
Let's also notice that GLD has climbed during a period of 5 sessions that has coincided with a pullback in longer-term 10-year YIELD from 2.40% to 2.28%, and during a period when the Dollar Index (DXY) also is under pressure.
Let's see if Gold and GLD can sustain today's strength, and continue higher after the weekend, which will confirm the turn.