Enjoy tonight’s audio interview with David Bensimon from Polar Pacific. His interview covers his view on the markets and his outlook on gold and silver. He explains how he derives his price targets. Go to 38 min within the David Bensimon interview to listen to his take on gold. It pretty much matches Jim Sinclair’s view. My technical analysis take is that as long as the 850 level holds, gold should be considered a strong buy. Check my gold and silver charts on my public list to see how I come to that conclusion.
At the beginning of the interview David Bensimon describes his method. He recommends to look for confluence of different elements in order to find the ‘rhythm of the market’:
- Elements of time. In the horizontal. [Cycles]
- Elements of price. In the vertical. [Ratios]
- Elements of geometry. In the diagonal. [Channels and trend lines]
- Elements of structure. In the past.
- Momentum. Measuring speed. [Oscillators]
If you are familiar with my public list you might have noticed I often label price areas as levels of confluence of support or resistance. The more different elements you can identify that confirm your analysis the better. Signals are stronger when that happens and it is easier to derive price targets. Check my Natural Gas Technical Analysis which is a good example for confluence of support.
05/17/09 – Update: Another David Bensimon interview with Smartstox with his outlook on oil prices and why he is more bullish on silver than gold.
Always look for levels with confluence of support or resistance.
Thank you Nick!
Have a great evening!
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