XAU On Weekly Support 062707

After failing to break it’s daily trading range last week, the XAU has fallen back to support. We hit the weekly uptrend line yesterday. I’m watching for a bounce. I’ll be shorting if one fails to materialize. I should have been all over the failed buy signal on the daily chart. It always looks easy in hindsight. Same scenario with oil stocks. I’m inclined to go long on this pullback.

The Nasdaq Composite found 50 dma support on quite a nasty reversal Monday. QID should be a mover once the Nasdaq loses support, and QID trades above the technical indicator. It’s the end of June, so quarter end window dressing is not out of the question first.

Individual stocks FSLR has continued to show strength. USNA provided a decent trade yesterday, but you had to be quick. MSTR lost the support it had. Still watching for strength to come back there.

The Federal Open Market Committee meeting is tomorrow. Summer trading seems to be in effect between moments of volatility.