bbrijesh

Will Gold resume its Bull run?

Long
COMEX:GC1!   Gold Futures
The decade of bull run from ~$260 in 2001 to $1920 in 2011 (6X) on back of safe haven buying and an investment asset class ended with revival in major global indices and on track economies. The 5 years of slow and steady pain from 2011 to 2016 where gold lost 45% of its glittering from its peak might come to an end. We might witness the resumption in the bullish trend on the back of technical setups. The rationale are:

* Morning Star - bullish reversal candlestick pattern
* Falling channel support
* 38.20% Fibonacci retracement of $260 to $1920
* 2/1 Gann fan line
* 141% Fibonacci time cycle of 2001-2011 ends at January 2016
* -DI sloping southwards suggesting bears are tiring

The above view would hold till gold doesn't breach $1000 and expect the move towards $1450-1600.

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