GOLD is on a major decision point - waiting for a breakout
Overview:
Gold is still in a bullish trend started at $1166 and 50MA is still above the 200MA.
But after reaching ATH 2075 in August 2020 Gold has been falling into the descending channel. Recent false breakout failed to pass through the heavy resistance at 1960.
Bearish view:
If Gold will fail to break up the falling channel we can potentialy see 50 MA going below under 200MA, declaring a start of bearish trend.
This could signal further downfall to the levels of 1825 - 1800 and even 1765, which proved to be a strong support level so far. If it fails to stand, potential move is possible further down to 1730 and maybe even to 1620 - 1500, to 0.5 - 0.618 Fib level of the main ascending trend.
Bullish view.
If Gold will be able to go above the channel and break to two strong resistance zones at 1900 and 1960 we can expect the continuation of a bullish trend and see it testing ATH and possibly go above 2100 level.
Created for educational use only, would be glad to hear your feedback. Just learning so far.
Gold is still in a bullish trend started at $1166 and 50MA is still above the 200MA.
But after reaching ATH 2075 in August 2020 Gold has been falling into the descending channel. Recent false breakout failed to pass through the heavy resistance at 1960.
Bearish view:
If Gold will fail to break up the falling channel we can potentialy see 50 MA going below under 200MA, declaring a start of bearish trend.
This could signal further downfall to the levels of 1825 - 1800 and even 1765, which proved to be a strong support level so far. If it fails to stand, potential move is possible further down to 1730 and maybe even to 1620 - 1500, to 0.5 - 0.618 Fib level of the main ascending trend.
Bullish view.
If Gold will be able to go above the channel and break to two strong resistance zones at 1900 and 1960 we can expect the continuation of a bullish trend and see it testing ATH and possibly go above 2100 level.
Created for educational use only, would be glad to hear your feedback. Just learning so far.
Comment:
so far it looks like gold wasn't able to surpass the resistance and it's most likely will fall lower