Aibek Burabayev, Author at INO.com Trader's Blog

Pendulum Experiment: The Weakest Metal Vs. The Strongest Future

Posted on November 12, 2015November 11, 2015 by Aibek Burabayev

Dear readers, I hope things are good if you are short both top precious metals as per my Gold and Silver updates and you are enjoying the rising gains. As nothing unforeseen has been happening, let us do an experiment.

Do you know what a pendulum is and what the effect it has on an instrument? When something moves one way and then swings back and we push it harder forward, it will move back deeper for the distance that is equal to the distance between equilibrium and the forward point. Swings and waves are a normal part of our everyday life, and that is true for the markets as well. Continue reading "Pendulum Experiment: The Weakest Metal Vs. The Strongest Future" →

Silver Update: Who Shot The Sheriff?

Posted on November 2, 2015November 3, 2015 by Aibek Burabayev

Silver started October with a long bullish candle. The next day I wrote a post that Silver could reach higher highs, and long positions are favorable from the risk/reward point of view. The metal rocketed more than $1 from the posted price ($15.229), but caught the “bullet” in the sky and fell “dead”.

Below is the reconstruction of my chart from that post to see where the metal reached and what levels were broken back.

Silver Daily: After Crash

Daily Silver Chart
Chart courtesy of tradingview.com

Silver has managed to overshoot the distance of the green ab segment by 0.382 (at 1.382 Fibonacci expansion ratio) and has outweighed Gold’s progress that it couldn’t overshoot. The entire segment has fit into a single month of October from the trough to the peak on October 28th. Gold peaked earlier on October 15th and didn’t make new highs after that. Continue reading "Silver Update: Who Shot The Sheriff?" →

Gold Update: Space Mission Aborted, Rescue Landing Is Ahead

Posted on October 22, 2015October 23, 2015 by Aibek Burabayev

One of our regular readers was among the few who openly rejected the idea of Gold’s reversal to the upside, he sees a lower bottom for the metal.

So let’s see why I changed my mind and now think that we are not going to rocket higher soon. Below is my previous post’s daily chart. I've added remarks to the chart to show what went wrong.

Gold Daily: Post-Mortem

Daily Gold Chart FOREX:XAUUSDO
Chart courtesy of tradingview.com

I supposed that after we received the first bull confirmation of higher lows, we can fly higher at a distance of the 1.618 Fibonacci ratio in the green CD segment. One can notice that we hit a new high last Thursday around the $1192 level. So why should we cancel the bullish scenario now? Continue reading "Gold Update: Space Mission Aborted, Rescue Landing Is Ahead" →

Copper Update: Crashing Crude Oil Lures Down Melting Copper

Posted on October 14, 2015October 14, 2015 by Aibek Burabayev

In my previous Copper update in September, I proposed readers to cover shorts in Copper ($2.32 level) and to watch Crude Oil for further clues as the “black gold” rocketed for a worrisome $10 in 3 days while Copper was quietly sleeping, unaware in its sideways “bed”. Indeed, the metal started to elevate with a two-day gap following Crude Oil, confirming that the signal was valid, and Copper reached $2.5.

Crude Oil Daily Chart: Bears Have Attacked and Bulls At Halfway

Crude Oil Daily Chart
Chart courtesy of TradingView.com

Let’s start from the leading instrument’s chart above. Last time, I assumed that Crude oil should have reverse down ahead of the downtrend touching a point at $53 and it reversed earlier than I expected – just below $51. This was due to huge selling pressure in the market. Continue reading "Copper Update: Crashing Crude Oil Lures Down Melting Copper" →

Palladium Has Justified Expectations

Posted on October 13, 2015 by Aibek Burabayev

In my previous post about Palladium, I had used a different look for the technicals by implementing the ab/cd concept and Fibonacci ratios together. In that post, on the monthly chart I had assumed that the 50% Fibonacci retracement level ($528) could hardly be cracked by sellers and had confirmed it by using the weekly chart where the cd=1.618 of ab ends almost at the same level ($539).

Below is the weekly chart with details to show how the reversal has happened.

Weekly Chart (second month): Reversal Assumptions Has Proved To Be Right

Weekly Chart of Palladium (NYMEX:PA)
Chart courtesy of TradingView.com

The price of Palladium has slightly overshot the 50% Fibonacci level ($528) down to $520. It’s amazing, but these ratios work like Swiss watches: precise and reliable and, of course, there are a lot of market players who use them every day. Continue reading "Palladium Has Justified Expectations" →

Author: Aibek Burabayev