🏆 Today's Chart of the Day was shared by Mark Ungewitter (@mark_ungewitter).
- Over the past three weeks, the Gold ETF ($GLD) has logged its first -10% correction since October 2023, though Gold futures have yet to reach that threshold.
- With $GLD currently at $366, Mark notes that price is pinched between the AVWAP from the peak ($375) and the AVWAP from late August ($360), where it later broke out and ran nearly +30%.
- The lower AVWAP has held twice so far, representing the average cost basis of buyers during the September/October advance. When two AVWAPs pinch together, it often precedes a strong move in the direction of the eventual breakout.
The Takeaway: $GLD has seen its first -10% correction in more than two years. It's pinched between two AVWAPs at $375 and $360, and a break would likely spark an energetic, sustainable move.
