I am a supporter of GOLD price going down from 1300 towards 1200. If you follow my ideas you would see that I supported that idea for a long time. But this monday movement was too fast. It will not get a sequel before market does not cool down a bit.
Therefore pay attention for upside movements. Maybe it will go towards 1330 or it will reach the top of the...
The price is going into the peak of a flag formation with the 101.180 resistance and the lower maximum points.
I consideration of MACD and BB there is lots of pressure towards this resistance line and the potential to break it for going down to 97.000 and maybe towards 94.000.
The Market did not show any pullback scenario for going back into the uptrend which got a break after Draghi speech before June.
Because of this less potential for a pullback I assume the broken uptrend which led into a downtrend will get a sequel this or next week. Therefore pay attention to the red horizontal resistance areas.
The week is over and it was a very bullish week. But if we consider the longterm downtrend on the weekly chart, then there is a resistance area at 1356/60 and we have to be honest to say that in consideration of current financial happenings gold is getting less attention for a trendchange into a long term uptrend so therefore a reversal is very likely.
Im pretty sure that the announcemt of lowering the QE additional by 15 billion $ and the positive forecast about the economy in the second quarter year will push the price down.
Last FOMC protocol had its impact on the following day where the gold price rose from 1272 to 1320.
Maybe this time it will happen again but in the other direction.
The reason why this...
If you look at the technical situation then maybe there are similarities between the triangle break of end of May and the current triangle.
Maybe some smaller pressure like the past triangle break could be happen...
In the upside movement towards 1333 (last max. point) divergences happened.
After it fell towards 1309 and then playing around 1319-1315 it showed that the indicators respected that and no divergences could be seen.
In this case the downside movement could get a sequel. Maybe towards 1289/85/80 as key resistance level.
0.87 got retestes twice and a reversal happened there. In consideration of current uptrend channel and the previous downtrend before that reversal then there is minimum the potential for 0,91.
Confirm of this idea is after break of 0,90 zone as psychological Level.
After GBP/USD broke its historical resistance from 2009 (1,71) it did not show any strong force or movements to go into the sky. It stabilized around 1,715 and showing divergences for an upcoming reversal into a Shoulder Head Shoulder Pattern for going into the old zone at 1,69.