The weekly chart for Gold continues to remain bearish until prices stay below $1747 resistance. The yellow metal has tested resistance again around $1738 today before reversing lower. With all the fundamental story and greater optimism over Gold prices to reach $3000, it instills further confidence on the above bearish structure, that indicates a probability for a sharp reversal lower until prices stay below $1747. Ideally, we need to see a break below $1661 to confirm a reversal but a break below $1690 would be the first step towards the same. We have been a bit aggressive for potential short from $1710/15 levels, with risk just above $1747 handle. A break above $1747 would be technically seen as a bull trap that is better avoided.
Strategy:
Short against $1747, targeting $1661, $1560 and $1450.
Legal Disclaimer: This article is not investment advice. The data provided is for marketing material purposes and is not intended to confuse nor guide our clients on trading decisions. Any investment activity performed is perceived to be a self-directed decision. Exclusive Markets is not liable for losses that may occur because of a decision made after reading the information published on our research page or any other media.
Risk Warning: Trading the capital markets is risky therefore further knowledge and experience may be required. Apply appropriate risk and money management always and ensure the implementation of safe leverage.
Strategy:
Short against $1747, targeting $1661, $1560 and $1450.
Legal Disclaimer: This article is not investment advice. The data provided is for marketing material purposes and is not intended to confuse nor guide our clients on trading decisions. Any investment activity performed is perceived to be a self-directed decision. Exclusive Markets is not liable for losses that may occur because of a decision made after reading the information published on our research page or any other media.
Risk Warning: Trading the capital markets is risky therefore further knowledge and experience may be required. Apply appropriate risk and money management always and ensure the implementation of safe leverage.