PSEi

The index pulled right back after reaching its secondary monthly resistance(2) after breaching the monthly pivot point(1) which was also confirmed by the RSI bouncing-off(3) the 50 level.



For the upcoming week, the index needs to close higher than 4400 to continue the upswing with 4500(4514) as a potential target/resistance. Anything higher than that could mean a steep climb, with RSI confirming hopefully, and 4500 could turn into the new support.

However, failure to break past 4400 could ruin the bullish sentiment and the index would probably land at 4300(4290) this week.

Index level is also bearishly divergent to previous high(lower RSI from previous high).

Trend strength appears to be relatively weak as suggested by the DMI reading(not picking up).

Gold ($GOLD - Continuous Contract) + FX: Trial by fire

I am baffled with my stupidity in my trades this week(in GOLD and in EURUSD), but so far, none of previous mistakes can top my stupidity in GOLD this week!

Here's the reason why:


Okay, so far, my mistakes came from putting on too tight stops(trailing/loss) so I am going to trade with no stops this week. Let's see how terrible the outcome will be.

Anyway, moving on, enough with the sour-graping, Gold pretty much looks like sideways with a slight downward bias, looking to pullback to the 200 MA which should provide a relatively safe entry with excellent upside potential plus the fact that it could break into a new high:



Trade with bigger volume on the long side on the 200SMA pullback setup: