Gold continued its bull run expanding towards the next resistance area rising $14 for the week. The week was another big one in terms of range where gold nearly managed a $30 bar from highs to lows. With $1300 now setting up as a big support along with supportive fundamentals aiding the prices it does seem a new high is on the cards in the current year.
On the chart –
Gold had another big week with the formation of higher highs and higher lows and a closing above the resistance level all auguring towards higher prices. The support of $1297 was tested and the price closed way higher indicating a new floor for the price. We have 2 scenarios –
1. Gold had a positive closing and till the support is held it can move towards $1327. Once this is crossed it can glide towards $1341. And if this is crossed it can climb till $1356.
2. Short trades remain extinguished as gold continues it’s bull run closing above the resistances. For trades to come live the support of $1297 must now be broken.
Bullish view – Bulls had another big outing as they amassed $14 for the week. Once the support was tested on the first day of the week, the price saw a vertical rally towards the highs/resistance which was rejected on the first try causing the retreat in the prices. Bulls gained even more momentum as the dollar weakened on fundamentals. For bulls to keep the momentum intact they must hold the now big support of $1297 and keep on the hunt for new highs.
Bearish views are also fading given the trend gold is in.
On larger terms, Gold remains bullish and prices are expected to head higher.
Possible trades are on both sides, gold can be bought above $1318 for the targets of $1327 and $1341 with a stop loss placed below $1308. Longer term target $1356.
Short trades remains missing and only come live once the support is broken.
On the chart –
Gold had another big week with the formation of higher highs and higher lows and a closing above the resistance level all auguring towards higher prices. The support of $1297 was tested and the price closed way higher indicating a new floor for the price. We have 2 scenarios –
1. Gold had a positive closing and till the support is held it can move towards $1327. Once this is crossed it can glide towards $1341. And if this is crossed it can climb till $1356.
2. Short trades remain extinguished as gold continues it’s bull run closing above the resistances. For trades to come live the support of $1297 must now be broken.
Bullish view – Bulls had another big outing as they amassed $14 for the week. Once the support was tested on the first day of the week, the price saw a vertical rally towards the highs/resistance which was rejected on the first try causing the retreat in the prices. Bulls gained even more momentum as the dollar weakened on fundamentals. For bulls to keep the momentum intact they must hold the now big support of $1297 and keep on the hunt for new highs.
Bearish views are also fading given the trend gold is in.
On larger terms, Gold remains bullish and prices are expected to head higher.
Possible trades are on both sides, gold can be bought above $1318 for the targets of $1327 and $1341 with a stop loss placed below $1308. Longer term target $1356.
Short trades remains missing and only come live once the support is broken.