FxWirePro
Short

Gold breaks & sustains below $1200, momentary bulls edgy at 7SMA

FX_IDC:XAUUSD   Gold Spot / U.S. Dollar
294 0 10
Gold breaks and sustains below $1200, momentary bulls edgy at 7SMA creating space for bears – Stay short in mid-month futures as price unlikely to sparkle:

More slumps likely as bears break major support at 1208 & 1200 marks after bearish crossover on SMAs.

Major bearish observations:

Both leading oscillators on weekly and monthly terms signal intensified selling momentum. On weekly plotting, you see the clear downward convergence of the leading indicators to the price dips, RSI trending below 37 levels, while stochastic curves reached oversold zone but no traces of buying interests. While the same leading indicators on monthly plotting signal extreme bearish pressures.

On weekly charts, 7SMA crosses below 21SMA and likely to extend which is again a bearish signal, while 7EMA is likely to crosses below 21EMA that could drag gold             prices lower.

On monthly plotting, shooting star occurred at peaks (1315.55 levels) of the intermediary trend.

While MACD on weekly term evidences bearish crossover that is likely to drag prices down further.

The inference: For now, this week the bulls began with the attempts to reclaim gains, but does it seem like bottoming out, is it really a bottoming out from 4-months’ lows (see monthly charts)? This has quite been a million dollar puzzle, we advise don’t jack up fresh longs on investment grounds as we don’t have confirmation on monthly terms, instead, bearish patterns and indications are popping (see for shooting star and bearish convergence by leading indicators on monthly terms).

Please be noted that the price of precious yellow metal has always been US rates sensitive commodity. And Fed is most likely to hike in this December meeting.

Hence, we encourage fresh shorts using ongoing rallies via futures contracts of mid-month expiries for southward targets of 1168 levels with a strict stop loss of 1208 levels.
EN English
EN English (UK)
EN English (IN)
DE Deutsch
FR Français
ES Español
IT Italiano
PL Polski
SV Svenska
TR Türkçe
RU Русский
PT Português
ID Bahasa Indonesia
MS Bahasa Melayu
TH ภาษาไทย
VI Tiếng Việt
JA 日本語
KO 한국어
ZH 简体中文
ZH 繁體中文
AR العربية
Home Stock Screener Forex Signal Finder Cryptocurrency Signal Finder Economic Calendar How It Works Chart Features House Rules Moderators Website & Broker Solutions Widgets Stock Charting Library Feature Request Blog & News FAQ Help & Wiki Twitter
Profile Profile Settings Account and Billing My Support Tickets Contact Support Ideas Published Followers Following Private Messages Chat Sign Out