GLD weekly - gold likely correction/end of rise for now
GLD is in a symmetrical triangle and is close to major resistance. GLD had 10 weeks up move and is due to correct. Volume is dropping which is not the best option with such a strong move-up. Volume is not confirming price action.
GLD is above all significant MA which is bullish and a sign of a strong bull market.
RSI is way overbought and is due to correct.
MACD histogram is ticking higher while the MACD line and the signal line are above zero line signaling bullish momentum.
Overall: GLD is bullish especially when the dollar is dropping. However, as GLD is at resistance, at the same time USA dollar is at strong support. For the continuation of the bullish move, GLD needs to correct at least to FIB 0.5 and then start to move up so RSI and MACD can cool down and have a healthy bull move. Otherwise, I expect a fakeout above, hitting resistance (blue dotted line) and getting rejected pretty hard and at the same time finish of a bull move for a longer period of time. Also, the more the price stays inside the triangle the more powerful movement will be.
GLD is in a symmetrical triangle and is close to major resistance. GLD had 10 weeks up move and is due to correct. Volume is dropping which is not the best option with such a strong move-up. Volume is not confirming price action.
GLD is above all significant MA which is bullish and a sign of a strong bull market.
RSI is way overbought and is due to correct.
MACD histogram is ticking higher while the MACD line and the signal line are above zero line signaling bullish momentum.
Overall: GLD is bullish especially when the dollar is dropping. However, as GLD is at resistance, at the same time USA dollar is at strong support. For the continuation of the bullish move, GLD needs to correct at least to FIB 0.5 and then start to move up so RSI and MACD can cool down and have a healthy bull move. Otherwise, I expect a fakeout above, hitting resistance (blue dotted line) and getting rejected pretty hard and at the same time finish of a bull move for a longer period of time. Also, the more the price stays inside the triangle the more powerful movement will be.
Consistency is the key of success....
