Gold
continues pulling back to the downside from the high that it made on September
8th around the 1357 level and it is coming near the 1300 level. The
1300 zone has acted as resistance in the past and actually a breakout and
pullback pattern was formed in that area, making it a support before rallying
towards the 1357 level. On this occasion it is possible for the price of gold
to find a support at the 1300 level, especially if the 55 day EMA (purple line)
stays close to that level. The recent rally on the Dollar has caused the price
of gold to drop and if the Federal Reserve decides to hint about a possible
rate hike on Wednesday, the Dollar may rise even more, causing gold to maybe
break below the 1300 level. Below the 1300 level, the next important support on
the daily chart of gold is the 200 day EMA around the 1260 level.
The uptrend looks intact.
ReplyDeleteGold still has not recover the bearish gap, targeting further weakness.
ReplyDeleteIt's still quite bearish.
ReplyDeleteA pullback was inevitable.
ReplyDeleteGood to know, thanks!
ReplyDeleteThank you for sharing.
ReplyDeleteGreat analysis as usual.
ReplyDeleteVery detailed analysis!
ReplyDeleteGold continues to drop.
ReplyDelete