9/29/2011 - XAU/USD - GOLD Spot/GOLD FUTURES

THE VULCAN REPORT
Review of $0$ XAU/USD - GOLD Spot/GOLD FUTURES (XAU USD)
as of Wednesday, September 28, 2011


Today's Price Action


Change  -40.0000 (-2.42%) prices closed lower than they opened. with weak Bids going into the close. 


An engulfing bearish line occurred (where a black candle's real body completely contains the previous white candle's real body).  The engulfing bearish pattern is bearish during an uptrend.  It then signifies that the momentum may be shifting from the bulls to the bears.  


If the engulfing bearish pattern occurs during a downtrend (which appears to be the case with $0$ XAU/USD - GOLD Spot/GOLD FUTURES), it may be a last engulfing bottom which indicates a bullish reversal.  The test to see if this is the case is if the next candle closes above the bottom the current (black) candle's real body.


     MARKET SENTIMENT
  
PulseScan Swing Vix


PulseScan:    -28.63
Swing Vix:    -29.49


The Market Pulse is negative since it is trading below its zero signal line.The PulseScan crossed above the Swing Vix creating a UP Trend Channel as of    2 period(s) ago. The Swing Vix is not currently in a topping (above 39) or bottoming (below -39) range.    
A buy or sell signal is generated when the Swing Vix moves out of an overbought/oversold area.  


*The last signal was a Over-Bought Sell 25 period(s) Ago.
The Swing Vix does not currently show any Failure Swings.The security price has set a new 14-period low while the Swing Vix has not.  This is a bullish divergence. Since the PulseScan leads the market 3-5 days out we will wait to see if an upside breakout occurs.
      
  *Since the last Swing Vix signal, $0$ XAU/USD - GOLD Spot/GOLD FUTURES's price has decreased 1.13%, and has ranged from a high of 1,679.20 to a low of 1,535.00.


     MOMENTUM


     MARKET TREND - Currently the TREND is - The UpTrend is still entact with prices holding above trendline support at- 1,602.16.


        TREND STRENGTH - ,,,BEARISH MOMENTUM


TRENDLINE RETRACEMENT
The close is currently Above it's PulseWave Cycle TRENDLINE RETRACEMENT. - 1,602.16


The close is currently Above it's Long Term TRENDLINE RETRACEMENT. - 1,512.98




INTRADAY PRICE PROJECTIONS
RESISTANCE 1,699.53 -   


SUPPORT 1,556.53 -  -  


WEEKLY PULSE WAVE PRICE PROJECTIONS
PulseWave BreakOut RESISTANCE - 1,949.07-  


PulseWave BreakOut SUPPORT - 1,680.13-  




MONTHLY PRICE PROJECTIONS
Long term Trend Line resistance is currently at - 1,602.16
Long term Trend Line support is currently at - 1,280.62
BEAR MARKET DOWNTREND - (12-18mo)  PRICE TARGET =   637.54


VOLATILITY
On 9/28/2011, $0$ XAU/USD - GOLD Spot/GOLD FUTURES closed below the lower band by 2.3%.  


This combined with the steep downtrend suggests that the downward trend in prices has a good chance of continuing.  However, a short-term pull-back inside the bands is likely.