IN recent weeks safe havens have come into there element and Gold is not shy of storing hedge funds deposits into this asset.
We may have a double top forming here, in which case watch for the bounce and possibly attempt to short this instrument. However, if this level is breached, then I suspect longs are in play and a triangle breakout will confirm a new trend. (Will post an update showing the triangle formation).
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Comments
EvanJones
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This is what I think will happen:
EvanJones
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As stated its broken the 1110 level, so my pending buy is triggered, however the key to this trade is to observe the daily close, which if it remains above 1110 then we could be on for a rally. I would expect Gold to pop itself above the resistance area before retracing. Be carefully that tomorrow evening the FED decision is on, going by my analysis this may not be good news for the US Dollar in which case Gold would be supported.
If you were to enter now and place stop losses below the 1100 area, bear in mind that Gold will swing during tomorrow nights decision, but I am heavily under the suspicion the Gold will go North from here!
nacmonad
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did it break this morning?? looks promising
jonfint
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Good analysis. I'll wait for updates.
EvanJones
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Observe the weekly to see the triangle formation. COT's indication shows a net increase in hedge fund deposits in Gold and hence see as a safe haven. Price could break the mid upper trendline to confirm breakout. I'm expecting this to rally to 1400-1440 area if confirmation of the breakout is confirmed.