May 4
4.00 PM GMT
CME NEWS
With another new low for the move overnight, it would seem like the bears still have retained its control into the last trading session of the week. Noted weakness in energy prices, ongoing declines in equities and adverse dollar market action leaves the bears in gold with the outside market edge to start the Friday US trade. The bulls in gold don’t seem to have a definitive theme working in its favor this week, as patently weak US data hasn't been able to foster talk that the US Fed will act soon to provide additional support to the US economy. The market has continued to see predictions of slack Indian gold demand but that news was offset by talk of steady to strong demand for gold in China.
The nonfarm number came out at 115K and points to an economy that is clearly losing momentum.
We have weakening economic data – and on the other side, strong earnings. That is the current battle.
The difficult question for gold traders is whether or not gold will be able to benefit in the face of a patently weak number today, as a weak number has put pressure on stocks, industrial commodities and it could also prompt adverse currency market action.
It is not clear that will provide gold with anything other than simple short covering buying to trip up stops in the 1645-1650 area. A weaker than expected reading has given the stock market a 100 point loss to open trading , Crude oil that is below 100 on the WTIC contract, down a full 3 dollars, ---and a Gold market that is up 20 dollars from its lows in London ???????
The low nonfarm would allow deflationary/slowing type selling to continue, but that might not be enough to prompt widespread talk of action from the US Fed.
Asian equity markets were weaker ahead of the US jobs numbers but it should be noted that Shanghai shares were able to claw out some minor gains today. European equity markets were mostly weaker to start today and that action was probably inspired by another contraction in Euro zone services PMI data. However, Euro zone March retail sales figures were positive and stronger than expectations and that might have served to countervail some of the ongoing macroeconomic slowing concerns in that region.
GOLD – GOING TO THE CHART
The market moved all the way down to the 1627 area in London and then back up to the 1648 area in New York going into the 10 am key timeframe. The green channel line gave initial resistance last night, but New York blew thru it today and moved all the way up to the yellow line resistance. This in the face of 100 point low in the DOW and a 3 dollar drop in crude oil. It makes for a good case that markets run to their own support and resistance areas.
Additional resistance today is the 1652-1655 area and support is now the 1635-1640 area.
As you can see by the chart, it’s a very choppy and overlapping price pattern that is stuck in a wide trading range of 1600-1680 and we have been trapped in that area for nine weeks. The overall trend remains down and it will take a move above 1672 to turn the intermediate term trend up. The one thing to watch is that Friday’s in metals have had a tendency over the past 5 or 6 weeks to have its strength early into the 10 am session and then have weakness in the latter portion of the session. If the stock market and crude remain weak, that might give rise to another weakening trend for the metals as the day progresses. That’s our best take at the moment and that is the move up to the YELLOW line on the chart has a good chance of being the high of the day.
4.00 AM GMT
Long Term=Up (major resistance 1767-1804 needs to be exceeded on a monthly close)
Medium Term=BEARISH (Major Resistance 1767 Monthly Close) Technically in bearish mode.
Intermediate Term= Bearish (we remain in an choppy trading range in a downtrend channel)
Short Term= Bearish (It takes a close above 1666 to turn the trend higher)
Support and Resistance for Friday
Initial Resistance for 1642-1646 and 2nd tier 1652-1661
Initial Support 1623-1633 and 2nd tier 1604-1614
Key events this week ---
JOB REPORT ON FRIDAY MORNING--Elections in France over the weekend.
Recap
Gold futures extended overnight losses Thursday after the European Central Bank left interest rates unchanged. The gold market was mostly under pressure early today but the market did manage a slight bounce in the lead up to the US initial claims report. However, gold came back under pressure even before the claims were released and prices continued to slide despite data that argued against slowing. Even in the wake of a softer than expected ISM Non Manufacturing report, gold showed little capacity to recover and traders are now getting ready for the Friday morning payroll data at 8:30 AM New York Time. The most actively traded contract, for June delivery, was down $16.50, or 1%, at $1,637.50 a troy ounce on the Comex division of the New York Mercantile Exchange.
The European Central Bank held interest rates steady and President Mario Draghi revealed that the governing council didn't discuss a rate cut at their meeting. Draghi said that the market's perception that there would be no near-term stimulus from the ECB is "correct."
Clearly the gold bulls saw the Chicago PMI data as a sign that the Fed might become more attentive, but it could take more than simply Fed speculation for gold and other physical commodity markets to turn a softening economic outlook into a distinct positive. The other issue lurking in the background is the debt situation in Europe. That situation has not been solved and we are still closer to the beginning of this event than the end. The France elections this weekend could bring a much greater concern if the socialists take office. Even more disconcerting is the continued reports indicating that Germany is getting tired of the entire affair. Some even think that Germany will pull out of the Euro union.
What Next?
We gave the downside the advantage on last night’s report and it’s the same for Friday. What we think will most likely develop into the Jobs report is a bounce in gold to the 1639.50-1645 area and then a pullback towards 1640 for when the report comes out. This chart is a tick chart so it doesn’t measure time only volume. The ascending green line then will be the green resistance line (that’s the 1639.50-1644) number and then the Fat Yellow line. That’s the other area to watch for a high on Friday. That would be the 1650-1655 area. Odds favor that one of these two areas should provide resistance. That middle purple (midway) line is the last support until the 1610-1615 area. The market should fight with the green line in the Asian trade near 1640 and then London could trade up to 1645 plus or minus a few dollars. The action will basically take place during the jobs report at 8:30 AM New York time.
The chart below shows how the move to 1672 was still only a 38% RETRACEMENT of the entire drop of the last 8 months What’s most concerning here is a potential channel line failure that if breached, could usher in a sell off greater than the market currently expects. Watch the 1638-1642 area. If we give way there, the downside can accelerate. We go to Thursday below the red downtrend line and above the fat yellow uptrend line. It’s neutral in between this area, but the bear’s seem to have regained control---or very close. The downside has the advantage on Thursday.
We discussed the failure at the 38% retrace and now it is gaining steam on the downside and the pattern looks ready to break down. The 23% retrace at 1614 is still a consideration for support as it has HELD every single drop with the exception of the end of year plunge when everyone was on holiday. That plunge is an excellent example of manipulation for one specific reason. Who in their right mind would try and dump gold on the market when everyone is on holiday? There is only one logical answer to that and it’s the control boyz.
The chop pattern on the chart is on the verge of another drop. The trend remains down. Friday comes down to what the control boyz do with the jobs report. It’s an excellent time to let the market have it, but it also would work to their favor to push price up towards 1650 and holding the remaining downside potential until next week. Regardless---bounces aside the trend remains down and until we get above 1672, or get out of the CHOP downtrend channel, expect more of the same.
Bottom line
The daily chart using Gann Angles and Arc’s continues to warn of danger also. It looks like support is where the first blue dotted downtrend line and the outer edge of the RED ARC resides. That PUTS SUPPORT at the 1623-1626 area. It also gives 1642 as upside RESISTANCE on the spot market. In summary, the weight of the evidence (bounces aside) still favors the downside.
1.00 AM GMT
One more dip to 1630 is likely followed by a grind higher to 1645
After which it can resume its downtrend.
Warning: Imminent end of bearish move
Supports / ResistancesRes 2 1,662.7500
Ex-High 1,653.7100
Res 1 1,649.4000
Pivot 1,640.3600
Sup 1 1,627.0000
Ex-Low 1,631.3200
Sup 2 1,617.9600
May 3
4.00 PM GMT
Look for trading in the 1635-1645 area for the remainder of
the New York Session as the most likely.
Gold has moved down to the lower end of support and the low at 1630 has a good chance of being the low for the day. We’d look to see a bounce towards 1645 possibly a bit more. As mentioned earlier, the jobs report comes out tomorrow at 8:30 New York time and the market should remain contained until then. First resistance today will be the 1642-1648 area with strong resistance at 1655.
IF THE LOWS OF THIS MORNING get taken out and we trade below that PURPLE line that we just hit for a second time and below 1625, then the potential to move to the 1600 area will come in play. In summary, look for support this morning at 1630-1633 and if we break below 1625 then we’ll look for a 1600 target next. In summary, the trend is still down and we should see a bounce off this 1630 area. The resistance for the bounce will be 1642-1646 for starters. Traders should watch that lower green and purple line as support and where a bounce can develop from. IF WE take out that lower purple line by going under 1625, then the market will favor lower. SO we’ll look for a bounce from this area today and will have resistance at 1642-1645. With the Jobs report on Friday, we think that the upside will be somewhat limited. If not 1642-1645, then KEY RESISTANCE now for the week is 1650-1655.
That 1630 low today looks like a good candidate for the low of the day. Depending on the action on the bounce will determine whether it can hold or whether we are going to go to 1600. The trend remains down. Let’s see what the bounce looks like. Watch 1642-1645 as first resistance and 1630-1633 as support.
FINALLY, if we CAN’T get back above that GREEN LINE at 1637-1639, the DOWNSIDE will remain in play for today. We’ve got to get back above that green channel line now.
IF THE LOWS OF THIS MORNING get taken out and we trade below that PURPLE line that we just hit for a second time and below 1625, then the potential to move to the 1600 area will come in play. In summary, look for support this morning at 1630-1633 and if we break below 1625 then we’ll look for a 1600 target next. In summary, the trend is still down and we should see a bounce off this 1630 area. The resistance for the bounce will be 1642-1646 for starters. Traders should watch that lower green and purple line as support and where a bounce can develop from. IF WE take out that lower purple line by going under 1625, then the market will favor lower. SO we’ll look for a bounce from this area today and will have resistance at 1642-1645. With the Jobs report on Friday, we think that the upside will be somewhat limited. If not 1642-1645, then KEY RESISTANCE now for the week is 1650-1655.
That 1630 low today looks like a good candidate for the low of the day. Depending on the action on the bounce will determine whether it can hold or whether we are going to go to 1600. The trend remains down. Let’s see what the bounce looks like. Watch 1642-1645 as first resistance and 1630-1633 as support.
FINALLY, if we CAN’T get back above that GREEN LINE at 1637-1639, the DOWNSIDE will remain in play for today. We’ve got to get back above that green channel line now.
4.00 AM GMT
Long Term=Up (major resistance 1767-1804 needs to be exceeded on a monthly close)
Medium Term=Neutral/BEARISH (Major Resistance 1767 Monthly Close) Technically in bearish mode.
Intermediate Term= Bearish (we remain in an choppy trading range in a downtrend channel)
Short Term= Bullish/Neutral (a close below 1638 puts the trend bearish--The chop continues)
Support and Resistance for Thursday
Initial Resistance for 1656-1666 and 2nd tier 1681-1688 and 3rd tier 1705-1712
Initial Support 1639-1647 and 2nd tier 1629-1633
Key events this week ---
ECB central bank rate policy --- Jobs report
Recap
CME News
While the March ADP employment reading was a bit stronger than expected, that reading was partially countervailed by a somewhat disappointing April result. However, while gold did seem to bounce in the wake of the ADP figures that rally attempt failed into the 8:30 EST NY time frame. From the mid morning high, to the low just ahead of the Factory Orders release, June gold managed a slide of roughly $14 an ounce. Even though gold managed to bounce again after the second set of data, the bulls just didn't seem to have the capacity to completely erase the initial bearish bias. Just to add to the bear's case in gold today, the US Mint released monthly gold coin sales figures, which showed the weakest gold coin sales in 40 months!
The gold market tried to stand up to the evidence of slowing but the gold market just wasn't inclined to find support off talk of US Fed easing. Earlier in the week gold was attempting to track the ebb and flow of easing prospects but today gold seemed to fall back into a classic physical commodity market stance.
The gold market just couldn’t regain any footing on Wednesday and the market has been in a downtrend since the 1672 high on Tuesday afternoon. Price dipped back below 1650 today and failed to close above important channel lines in the 1655-1660 area. After having five spike attempts reversed to the upside in the last week, today’s drop was a big disappointment.
Short-Term (Traders)
Gold could not keep above the 1663 area on Wednesday and once the purple downtrend line gave way prices dropped down to the yellow uptrend line before finding support. The bounce back ran into resistance at the 1655-1657 area at the lower white channel line and the purple downtrend line.
The continued under performance of the seasonal is unsettling as the short term cycles are due for a turn down. If price was weak during a strong period, we’re obviously concerned about the next two weeks when the short term down cycles come back into play.
The 1657-1662 area is first resistance and support is the fat yellow line again but even that area has already taken two tests in the last three days.
On a weekly standpoint, the 1633-1638 area is where support has shown itself. Any close below 1638 puts the upside in jeopardy and puts the short term trend in bearish mode. We’ve favored the upside due to the five spikes down that were reversed on buying but today’s drop puts the upside in question once again.
Price is once again in no man’s land below the red downtrend line and above the FAT yellow line inside this crazy wedge pattern. The inability to hold above the red downtrend line and the coming cycles turn is opening the potential for price to revert to the downside. That fat yellow line and the lowest green channel line is the last upside support.
Short Term – Short Term Cycles
The Short term cycle has been in play since two Monday’s ago when we made a low at 1623. After the Wednesday drop, price has overall been weak during this uptrend cycle.
The bad news is that the next short term cycle due date is May 6th (plus or minus 72 hours) and that means that the window for a short term trend change back down will open on Thursday, of this week and last until Wednesday of the coming week. Odds favor a peak during that time frame and a pullback to last until May 20th (plus or minus 72 hours). We were hoping for a mid week Wednesday peak but it just didn’t happen.
With the price action reversals we saw last week and again on Monday, price should have been able to follow thru to the upside. The last few short term peaks also came at the very beginning of the short term cycles and so the situation could very well have changed. The one day probe above the channel line and the subsequent close back below it as the cycle approaches puts the bulls in defensive mode and the bears another chance at taking this market down. This comes at a time when the Dow and USA stocks probed back over 13200 so even the angle where gold and stocks are going up is not really playing either. With the cycle ‘window’ now open for a trend change and with price below the upper channel, it puts price in a precarious position and opens up the potential for lower prices.
While the resolve can be higher, the risk is just as great if not GREATER that another turn down could be in play. The cycles still have a few days before the ideal peak day, but the risk to hold leveraged longs here is too high for my own taste. IF we should break lower here, there’s a lot of real estate below inside this channel. With price below all short term moving averages, we have to favor that the BEARS are taking control of the downside again.
What Next?
The chart below shows how the move to 1672 was still only a 38% RETRACEMENT of the entire drop of the last 8 months What’s most concerning here is a potential channel line failure that if breached, could usher in a sell off greater than the market currently expects. Watch the 1638-1642 area. If we give way there, the downside can accelerate. We go to Thursday below the red downtrend line and above the fat yellow uptrend line. It’s neutral in between this area, but the bear’s seem to have regained control---or very close. The downside has the advantage on Thursday.
Bottom Line
The Gann chart break into the ARC and the high was right at resistance and this downtrend has not YET BEEN defeated as the shorts made their presence known where they had to at 1672.
In summary, gold’s break on Wednesday back below1650 has gold on the ropes on the short term. Upside resistance will be right at 1655-1660 and support at 1638-1645. The red downtrend and yellow uptrend has us in a wedge that can go either way, but we think the bears have the advantage again after Wednesday’s action.
May 2
4.00 PM GMT
Resistance for the remainder of the day is the 1655-1658 area and the 1662-1665 area. Support is the 1640-1645 area and then 1633-1635. Today’s failure back under 1650 leaves the market in a position that needs to get back above the1658 area on a closing basis to try and get above that lower white trend line. Overall, the bounce up from the lows of last week remains weak and short term trends could be on the verge of turning back down. It’s best to remain cautious here and not overtly bullish. The bounce is still in play and after holding 5 spike down moves and reversing them higher, this morning’s action comes as a disappointment and from my own perspective, the selling of contracts on the bid has not stopped yet this week. I have never witnessed anything like it.
Watch for the market to FIGHT at 1655-1660 -- that's where the shorts will try and stop the bulls today.
Recommendation Based on the charts and explanations above our opinion is buying gold around 1650.00, targeting 1681.00, 1694.00 and 1700.00 and stop loss closing below 1638.00 might be appropriate.
Long Term=Up (major resistance 1767-1804 needs to be exceeded on a monthly close)
Medium Term=NEUTRAL/BEARISH (Major Resistance 1767 Monthly Close)
Very close to turning bearish.
Intermediate Term= Bearish (we remain in an choppy trading range in a downtrend channel)
Short Term= Bullish (a close below 1638 puts the trend bearish)
Support and Resistance for Wednesday
Initial Resistance for 1669-1675 and 2nd tier 1681-1688 and 3rd tier 1705-1712
Initial Support 1645-1658 and 2nd tier 1633-1637
Key events this week ---
Wednesday -- Debt meetings in Europe.
Thursday --- ECB central bank rate policy – expect unchanged
Friday --- Jobs report
Recap
CME News
Gold traded in a very tight range before the London sessions as many markets were closed.
The gold market firmed half way through the London session and moved to the highs of the day around 9am New York time. After a small pullback from the highs of the day price came under additional pressure in the wake of the scheduled US economic data and dropped sharply at the 10 AM key time frame all the way down to 1657 before bouncing back into the 1660’s range.
About the only bright spot in the news flow this morning was evidence of an improvement in the employment sector of today's regional PMI results.
While June gold did manage an upside breakout today, the market wasn't able to send off a definitively bullish vibe. Adverse currency market action, a slight tamping down of US easing hopes and perhaps residual concern toward upcoming Euro zone debt issues all served to keep would be buyers of gold back on their heels. Some gold bulls might have been partially cheered by suggestions from the US Fed that they retained tremendous room for accommodation, but that line of thinking was partially countervailed by suggestions that the markets weren't likely to see a "burst of inflation" directly ahead. With the Fed also suggesting that it wasn't clear if additional easing would help, it is not surprising that gold prices underperformed relative to the rest of the metals complex.
Last night’s update looked to the 1672 area to be the key to Tuesday performance and the high for the day was right at 1672. This resistance area is one of the two key ones we are watching this week. We’ve had the 1666-1672 area as a watch and the 1681-1688 weekly resistance. One of these two spots are the most likely resistance points for this week. Today’s pullback from 1672 found support at the key 1650-1655 area with the low coming in at 1657.
Short-Term (Traders)
Gold made a bid to close above the red downtrend line on Tuesday but was unable to do so. We got right to the 1672 resistance area but by the close price was below the red downtrend line at 1662. Thus our status is the same as last night, we need a move above 1672 to get to the weekly at 1681-1688.
For Wednesday the key if for price to trade above that RED downtrend line and make it support. The mini GREEN line is the key resistance slope for Wednesday. That places resistance in the 1672-1675 area and the WHITE channel line above it arrives at the 1681 area. One of those two lines should be resistance on Wednesday.
From a support standpoint, Tuesday’s price range only entered below the purple downtrend lines for a few minutes at the very lows of the day. The 1655-1660 area is first support but the most important support right now is that lower FAT yellow line at the 1646 area. On a weekly standpoint, the 1633-1640 area is where the strong buying emits from. Any close below 1633 puts the upside in jeopardy and puts the short term trend in bearish mode. We’ve seen 5 attempts at a sell-off and each spike was reversed higher. Until that scenario changes, we have to favor the bull’s have the advantage. In summary, the 1672-1675 and the 1681-1688 area are the two key points we have to watch for resistance on Wednesday. That makes the mini green line and the white line just above it as the resistance points for Wednesday trade.
Short Term – Short Term Cycles
The Short term cycle has been in play since last Monday and is favored higher until the next cycle and that one is due on May 6th (Plus or minus 72 hours).
The bad news about that is tomorrow is the last day before the cycle window opens up again. The window for a short term trend change back down will be open on Thursday, Friday of this week and until Wednesday of the coming week. Odds favor a peak for the month of May during that time frame and a pullback to last until May 20th (plus or minus 72 hours). So now things will have to be watched a lot closer. With Mid-Week Wednesday arriving the odds favor that the next 24 hours will have a good chance of putting in this week’s high.
The one good thing about today’s trade is that it was above the upper blue dotted trend line that has been in place since March 1st. However, if it is to fail, this is where it should happen, right after a penetration.
With the price action reversals we saw last week and again on Monday, we have to favor the bull’s still have the advantage but the approaching short term cycle turn is a concern. The last few down turns happened as soon as the cycle turn arrived. It takes a close below 1640 to turn the trend down. With the mess this channel has given us, we won’t rule out anything, including another spike. It would be MUCH better if we hold above the 1652-1655 area on Wednesday and close above that dotted trend line on the chart below. In summary, this area on the short term chart and the short term cycle coming due has to be watched as each day now will increase the likely hood of a short term top.
What Next?
The chart below shows how the move to 1672 was still only a 38% RETRACEMENT of the entire drop of the last 8 months. It’s an important point in as much as if gold should fail here, and move below 1612 it would favor the medium term to be bearish and would open up more downside potential for gold. From that perspective, gold needs to get above this highlighted green area. If we don’t make this move through, and turn down, the bearishness will increase in velocity potential.
Bottom Line
The Gann chart break into the ARC and the high was right at resistance. Price must hurdle the 1680 area now and this green highlighted area on the chart. A close below 1640 would bring the short term upside into question.
In summary, gold’s resistance lies directly at and above the Tuesday high. Let’s see if we can clear a few stops on the upper end for a change. Mid Week Wednesday’s are usually on the bull side but gold has its work cut out for it when it comes to the resistance above. One would think the SHORTS would let gold move just above these trend lines and then pull the trigger. The odds have a slight advantage to the upside but this will be tough resistance.
3.00 AM GMT
Current move should be supported in 1655-1657 zone for a rise to 1678.
A break below 1649 opens the way down.
Warning: End of trend
Supports / Resistances
Res 2 1,678.1200
Ex-High 1,671.6300
Res 1 1,670.2800
Pivot 1,663.7900
Sup 1 1,655.9500
Ex-Low 1,657.2900
Sup 2 1,649.4500
May 1
4.00 PM GMT
We’ve reached the 1666-1672 area in resistance which is off one of the uptrend lines we have the mini green line on the chart. We have stronger resistance at the 1681-1688 area. One of those ranges has a high degree for a high today. Yesterday’s spike down was reversed back up and that 1645 area should be solid support for the rest of this week. Note on the chart that the last 16 hours is basically in the 1660-1670 area as the low today was the top of the purple downtrend line, suggesting that it is becoming support now. That would peg the 1655-1660 area as first support for the rest of the day.
On the upside if we don’t exceed 1672, then a pullback or range bound condition should take place in the 1655-1672 range. Then the 1680-1688 target could come into play near the end of the week.
For today, it’s either 1672 or 1681 as the key high points to watch for. If we can’t get above 1672, then watch the 1655 area (plus or minus 5 dollars) for first pullback support. The ISM came in at 54.8 --- higher than the 53 expected. Construction spending rose but not as high as expected. A revision on Feb was a drop of 1.4% also.
On the upside if we don’t exceed 1672, then a pullback or range bound condition should take place in the 1655-1672 range. Then the 1680-1688 target could come into play near the end of the week.
For today, it’s either 1672 or 1681 as the key high points to watch for. If we can’t get above 1672, then watch the 1655 area (plus or minus 5 dollars) for first pullback support. The ISM came in at 54.8 --- higher than the 53 expected. Construction spending rose but not as high as expected. A revision on Feb was a drop of 1.4% also.
8.00 AM GMT
Recommendation Based on the charts our opinion is buying gold above 1654.00, targeting 1680.00, 1694.00 and 1700.00 and stop loss with 4-hour closing below 1638.00 might be appropriate
3.00 AM GMT
It may attempt a test higher to 1670 after
which weakness may set it to a drift down to 1650.
Supports / Resistances
Res 2 1,680.6000
Ex-High 1,666.2100
Res 1 1,672.7200
Pivot 1,658.3300
Sup 1 1,650.4500
Ex-Low 1,643.9300
Sup 2 1,636.0500
April 30which weakness may set it to a drift down to 1650.
Supports / Resistances
Res 2 1,680.6000
Ex-High 1,666.2100
Res 1 1,672.7200
Pivot 1,658.3300
Sup 1 1,650.4500
Ex-Low 1,643.9300
Sup 2 1,636.0500
5.00 PM GMT
Resistance for the remainder of the day in gold is
the 1660-1665 area and then 1677-1681.
Support for the remainder of the day is the 1643-1650 area.
Overall we favor the advantage to the upside this week but we do need to close above the 1666-1672 area to get by the first weekly resistance.
Any CLOSE BELOW 1638 would bring in to question the upside for this week.
5.00 AM GMT
Gold resistance for Monday is the 1666-1672 area..and then 1681-1688 zone..first support is 1644-1654 area and then the 1633-1636 area...gold had a different feel on Thursday and Friday...one thing for sure...there was excellent buying support when gold went below 1640.........and as long as we are above 1640 on a closing basis the short term trend is up...
3.00 AM GMT
Current rise should end around 1669.72.
Objectives of this downmove are 1652.94 or 1643.47.
A rise above 1677.01 is again bullish.
Warning: End of trend - Imminent end of bullish move
Supports / Resistances
Res 2 1,677.0100
Ex-High 1,667.5400
Res 1 1,669.7200
Pivot 1,660.2400
Sup 1 1,652.9400
Ex-Low 1,650.7600
Sup 2 1,643.4700
Gold has been climbing to the 1665 levels. There were early gains recorded in the gold, as the dollar index dipped to a three week low and after the US GDP disappointed gold continued it climb as investors moved to the safety of gold as the greenback fell against all of its partners. At this writing gold is exchanging at 1665.35
The U.S. economy slowed more than expected in the first quarter, the Commerce Department reported Friday. Real gross domestic product rose at a 2.2% annualized rate in the first quarter, down from a 3.0% increase in the fourth quarter.
After two weeks of poor eco data from the US markets are beginning to wonder if this is a repeat of the prior year’s spring stall.
Join Pipaffiliates Economic Events for April 30, 2012
for the European and US Markets
13:30 USD Core PCE Price Index 0.2% 0.1%
The Core Personal Consumption spending (PCE) Price Index measures the changes in the price of goods and services purchased by consumers for the purpose of consumption, excluding food and energy. Prices are weighted according to total expenditure per item. It measures price change from the perspective of the consumer. It is a key way to measure changes in purchasing trends and inflation.
14:45 USD Chicago PMI 61.8 62.2
The Chicago Purchasing Managers’ Index (PMI) determines the economic health of the manufacturing sector in Chicago region. A reading above 50 indicates expansion of the manufacturing sector; a reading below indicates contraction. The Chicago PMI can be of some help in forecasting the ISM manufacturing PMI.
Earn up to 50% Revenue Share
YOU SHOULD NOT TAKE ANY MATERIAL posted on this BLOG AS RECOMMENDATIONS TO BUY OR SELL GOLD OR ANY OTHER INVESTMENT VEHICLE LISTED.
Do your own due diligence.
No one knows tomorrow's price or circumstance.
I intend to portray my thoughts and ideas on the subject which may s be used as a tool for the reader.
I do not accept responsibility for being incorrect in my speculations on market trend.
King Regards.
