Quickpost: Gold due for a retrace.

In general I like to see a trendline flip from resistance to support as an entry into a long position, backed up by other indicators, of course and here it seems we don't have the appropriate indicator support.

• The trendline of interest is the rising blue line. Without any other analysis it looks like gold is finding support here but I just don't see the move continuing. First we have the Bollinger Band with way more distance to the downside to the baseline or the lower edge.
  
• The volume on this part of the uptrend is damn near non-existent which doesn't foretell continuation.
  
• The RSI has a subtle bearish divergence and
  
• the stoch RSI is looking like its is developing hidden bearish divergence.
  

If you are bullish on gold I think you would be looking for price action to form a falling wedge or similar formation off of the purple trendline. If that fails to hold then the black trendline is another reasonable target.... says the guy unqualified to give financial advice.

Comment:

Its taking longer than I expected but that is fine, I think we are starting to see performance. Both the MACD and OBV EMAs are primed bearishly on the weekly timeframe so we should see some powerful impulses over the next weeks-month or so.