Tronlink Wallet Airdrop: GOLD TREND Jan 23

Jan 27, 2012

Gold first resistance for Friday is the 1731-1745 area...

First support is the 1696-1712 area...

Gold has shot beyond 1700 and will be poised to head higher to around 1724, however scalping or short term trading can be done. There is a probability of gold dropping down towards the red line before bouncing up which gives us a potential shorting target of 1690-1693.

Jan 26, 2012

The metal has soared aggressively upwards after being provided by a solid support around SMA 50- colored in red- as seen on the daily chart. This incline has damaged the negative effect of the negative divergence which appeared on Stochastic yesterday. Surpassing the initial resistance level of 1703.00, the long white candlestick pattern and the positive signs appearing on momentum and trend indicators are rational reasons to suggest further bullishness over intraday basis, classically targeting 1756.00 zones. A break above 1726.00 will accelerate inclines.Conversely, breaching 1665.00 will bring the negative picture back into focus.

The trading range for today is among the key support at 1665.00 and key resistance now at 1760.00.

The general trend over the short term basis is to the upside, targeting $ 1945.00 per ounce as far as areas of 1475.00 remain intact with weekly closing.

Support: 1702.00, 1695.00, 1687.00, 1673.00, 1665.00
Resistance: 1713.00, 1720.00, 1726.00, 1744.00, 1756.00

Recommendation Based on the charts and explanations above our opinion is, buying gold around 1702.00 targeting 1756.00 and stop loss below 1665.00 might be appropriate.

Jan 25, 2012

Gold first resistance for Wednesday is the 1675-1685 area..
Any close above 1685 favors 1704 - 1712..
First support on Wednesday is 1651-1656..
Gold Options Expiration on 1/26/2012..
The short term trend remains up but short term cycles due to peak this week..
Big week coming up with FOMC Federal reserve meeting Wednesday..
Basal meeting this week..
The Chinese New Year begins..
The 2010 and 2011 holiday was the start of the precious metal rallies for those years..
Short term cycles call for a peak in metals this week..
SO BE CAREFUL..
If the Feds announce QE3 -- the metals (and everything else) will catch a bid..

SPOT GOLD closed lower on Tuesday and the low range close sets the stage for a steady to lower opening on Wednesday. Stochastics and the RSI remain neutral to bullish signalling that sideways to higher prices are possible near term. If it extends the rally off December's low,the 50% retracement level of the September December decline crossing is the next upside target. Closes below the 20day moving average crossing would confirm that a shortterm top has been posted.

Jan 24, 2012

Scenario for today

Elliott: elongated flat correction up 1685.47
Currently uptrend should end around 1686.49 - 1684.73 area.
A correction down to below 1665.93 is expected. A rise above 1692.52 will abort the expected correction.
Warning: End of trend - Imminent end of bullish move

Supports / Resistances

Res 2 1,692.5200
Ex-High 1,681.5000
Res 1 1,684.7300
Pivot 1,673.7200
Sup 1 1,665.9300
Ex-Low 1,662.7000
Sup 2 1,654.9200

GOLD moved firmly higher yet again in offshore trade as short covering in the Euro coupled with continued gains in equities is seeing demand remain strong for commodities. USD weakness is helping this move and as we have said before, as soon as volatility calms and the Euro can post some gains we should see gold prices tend higher again and this is exactly what is happening. We may also be seeing a rise as tensions between Europe, the US and Iran intensify after a European embargo on Iranian crude imports was agreed to last night. Gold finished US trade higher by 0.80% at $1,677. Another great night for the precious metals space and gold managed to catch up with some of silvers recent gains. Gold is now up against downtrend resistance at $1,680/81 and if we can see a clear break then $1,700/02 is the next big hurdle. We do not want to get ahead of ourselves but a break of the latter and then $1,750 and $1,800 come into play of which $1,800 is major level for gold. The USD remains weak, demand remains robust and improving conditions are seeing demand increase as investors are still not involved in this equity market rally. Gold should continue to rise until the US raise rates which look like still being a long way off. Remain a buyer of dips towards $1,665 with stops under $1,640 in the ST and under $1,600/05 in the MT.

Jan 23, 2012

Gold first resistance for Monday is te 1666-1675 area..
Any move above 1680 favors 1696 - 1704..
first support on Monday is 1646-1651..
Gold Options Expiration on 1/26/2012..
The short term trend remains up but short term cycles due to peak this week..
Big week coming up with FOMC Federal reserve meeting on Jan 24-25 (think QE3)..
Everybody else is thinking it..
The Chinese New Year begins..
The 2010 and 2011 holiday was the start of the precious metal rallies for those years..
But be careful..with the markets closed..
The 'control boyz' could put a raid on us at any time..

Gold rose during the Friday session as the $1,650 resistance level has been successfully breeched. The level was even tested during the same session as support, and has been found to be solid. The breaking above and the consequent pullback makes us believe that this market has found strong support at this point.

The breaking above that level is important as it shows a closing of the gap we had in December, which was always going to be a concern to technical traders in this market. The closing of this will signal that the bulls have ran this contract back up, and now we need to see if the strength can continue. We have maintained all along here at FXEmpire that we believe this market is still bullish, and haven’t been selling at all.

The Friday candle formed a hammer-ish shaped one, and this shows that people were joining in on the buying. The session closed at the top of the range, and this is a bullish signal in and of itself. A break higher on the charts would signal the next leg up, and this is something that we plan on joining as the run could run straight to $1,700 before finding significant resistance.

The buying of gold by central banks continues to be a supporting factor in the gold markets, and the printing of money will do nothing to stop it either as trader run from fiat currencies to buy hard assets like gold. The selling of this market is the pain trade, and as bears have found out over the last 11 years, this market can only be bought when you look at thing objectively.

We are willing to buy the breaking of the top of Friday’s range, and also on the dips. There are several support levels just below, and we think that the $1,650 and $1,600 levels are very significant now. Judging by the recent price action, it does look like the markets are primed to grind higher, and the piling in on this upward trade may just be beginning.