The negative trend has been continued and Gold (in $) several supports (as it has done Silver).
RSI has arrived in oversold zone and is testing the lower limit of a long trend line (in RSI-Chart).
MACD also negative and signal line triggered to the bottom.
Goldprice is shortly before reaching the fib retracement 38.2% of the last rallye (2016). At 1.184$ is the crossing between the parallel channel and the support and hopefully it´ll be strong enough to stop the negative trend.
If so, the Gold has the potential to rise up to 1.200$ where we have the upper limit of the channel and also the falling trend line (coming from 2011).
If not the next support would be at 1.153$ - a fib retracement 38.2% (older rally in 2009).
There are still good chances that the next support would be strong enough, if the sellout at the ETF´s won´t continue as fast as in the last days.
RSI has arrived in oversold zone and is testing the lower limit of a long trend line (in RSI-Chart).
MACD also negative and signal line triggered to the bottom.
Goldprice is shortly before reaching the fib retracement 38.2% of the last rallye (2016). At 1.184$ is the crossing between the parallel channel and the support and hopefully it´ll be strong enough to stop the negative trend.
If so, the Gold has the potential to rise up to 1.200$ where we have the upper limit of the channel and also the falling trend line (coming from 2011).
If not the next support would be at 1.153$ - a fib retracement 38.2% (older rally in 2009).
There are still good chances that the next support would be strong enough, if the sellout at the ETF´s won´t continue as fast as in the last days.
Trade active:
Another resistance also has been taken: the longer descending trend line (see yellow circle). This is very important because it shows that Gold has enough strength to fight back.
It would be a positive signal if Gold would cross the swing trend line (orange). This would open a next move to 1.260$ (fib retracement + swing trend line).