Gold

(GCG25) 

The chart below is key to this analysis.

There are two methods we use at ONE44 to find support and resistance in the markets.

The first are major Gann squares, these are the yellow horizontal lines on the chart. On the chart you can see where the market turned multiple times at these levels.

The second is Fibonacci retracements and this is what most of this post will be about.

There are a few basic rules when using the Fibonacci retracements with the ONE44 rules and guidelines.

This is the short version.

A 38.2% level keeps the trend intact and new highs/lows should follow.

A 23.6% level shows the market is extremely strong, or weak.

A 61.8% level can cause wide swings and keep the market in a trading range.

A 78.6% level can send it 78.6% of where it just came from and even be the end or start of a Bull market.

We have done 44 videos on how to use the Fibonacci retracements with the ONE44 rules and guidelines. These Videos are worth watching even if it is not in the market you are trading, as the ONE44 rules and guidelines are the same for every market. You will also see why we believe the Fibonacci retracements are the underlying structure of ALL markets.

Here is the latest.

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GCG25

From last week,

The rally after completing the 78.6% target at 2606.00 failed to get above the 2647.70 major Gann square and this level will be key for the next week.
 

Use 2647.70 as the swing point for the week.

 Above it, the short term target is 78.6% back the other way at 2724.40, this is also a major Gann square. On an extended.....

1/11/25

This week's rally took it right to the short term target of 78.6% at 2724.40, this completed the 78.6% (2606.00) to 78.6% target per the ONE44 78.6% rule and this level will be key for the next week.

Use 2724.40 as the swing point for the week.

Above it, the short term target is 78.6% of the contract high and 11/14/24 low at 2775.50. A failure to turn lower from there will give us only major Gann squares to look for resistance and then use as the swing point when closed above, the next two are 2810.20 and 2892.80.

Below it, the short term target is 78.6% the other way at 2624.00 based on the ONE44 78.6% rule. As we mentioned back in the end of October when the nearby contract got very close to a major Gann square cluster that it could be a longer term top so, the long term target is the Intermediate swing point at 2488.40 this is 38.2% back to the October 2023 low and a major Gann square, holding this level can send it right back to the ATH, a failure to hold would add to the idea of the current high being a longer term top that could last for months.

ONE44 Analytics where the analysis is concise and to the point

Our goal is to not only give you actionable information, but to help you understand why we think this is happening based on pure price analysis with Fibonacci retracements, that we believe are the underlying structure of all markets and Gann squares.

If you like this type of analysis and trade the Grain/Livestock futures you can become a Premium Member.

You can also follow us on YouTube for more examples of how to use the Fibonacci retracements with the ONE44 rules and guidelines.
 

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