IAG IAMGOLD Daily Chart Downward-Sloping Channel Oversold Positive Divergence

IAG is another gold miner. Keystone is holding it long currently. The weekly chart is positively diverged pointing to good times ahead. The daily chart has a slightly different price pattern over the last month than MUX or NEM so this chart may be applied to the other gold miners with a similar chart. GDX and GDXJ, the gold miner and junior gold miner ETF's, respectively, are the same set up as this analysis and are attractive long plays moving forward. Gold, and the gold ETF, GLD, are set up the same as well and are viewed positively for the weeks ahead. In general, the miners are more attractive for long trades rather than the gold or gold ETF's but all appear attractive for the weeks ahead, say, through summer time. Ditto with silver as well. Keystoen has been trading in and out of SLV recently from the long side and has been waiting for another entry point. SLV at 17.17-18.38 is an attractive entry area but even at the current 18.54 level will likely work out if willing to hold it for a few weeks.

IAG price jumped in late June because of the positive divergence (green lines) but note the pesky money flow that was not agreeable to the upside. This sour puss wants to see price come back down for a double bottom test. The indicators are positively sloped over the last two weeks but are not positively diverged. Price will need to print a lower low than late June, inside the green circle, and if that occurs and the indicators remain positively sloped, that will create positive divergence to bounce price. At any rate, IAG is basing and ready to move up for the weeks and months ahead.

Projection is a potential visit to 3.8 since the 2-hour chart shows a gap there, but price does not have to come down, it can simply continue up from here on out. If price comes down into the green circle and the positive divergence locks in, IAG will be at an excellent entry point for a long trade. Projection is up for the weeks and months ahead. This information is for educational and entertainment purposes only.  Do not invest based on anything you read or view here.  Consult your financial advisor before making any investment decision.