GLD Monthly Chart

     On the quarterly chart (discussed a few days ago) there were no D-waves completed from the 1999 low. On the monthly chart of GLD we are following a five wave sequence from that low with a fourth wave having completed at the 2008 bottom. That was also the completion of a Beta-pulse. These facts imply that we are currently in a fifth wave which is also a Delta-pulse. This means that the monthly chart is currently in a bullish position.
     As far as TD signals go, a 9-13-9 sell pattern completed in December 2010. However, that signal was negated in April 2011 when we had a qualified and confirmed break of the associated risk level. At this time we are waiting for either a sequential or combo sell signal to develop. The earliest this could happen would be October. Such a signal would most likely be the pullback we are waiting for on the Quarterly chart and would not be a sell signal in my allocation work. That is, the monthly chart would still contribute a +25% to the overall allocation mix.
     Bottom Line: Both the quarterly and monthly charts of GLD are bullish. These two charts add up to a +50% allocation meter reading; but we still have the weekly and daily charts to cover in the days ahead.