Gold formed a bullish flag pattern after Friday’s big rally, set for a continuation this week. On a weekly chart the week ended in a spinning top candle. A break above 1260/1262 area will confirm the break, also a 50% retracement level. With RSI also getting wedged in at level 50, we are set for a break. Price also in a tight range between 50 and 200 SMA. Entry on the break of the 1261 level could provide setup.
With Friday’s disappointing US data and geopolitical tensions, gold rallied and the sell off might have finally found a bottom. So far there has been no major news to signal a change.
Happy Trading!
With Friday’s disappointing US data and geopolitical tensions, gold rallied and the sell off might have finally found a bottom. So far there has been no major news to signal a change.
Happy Trading!
Comment:
Comment:
Update: Flag broke in line with expectation and now breaking the resistance level, next resistance 1272.30 area. Continued dollar weakness giving strength to this move.