Long Term-Neutral – Need a monthly close above 1490-1526 in May to regain Bullish status.
Medium Term=Bearish Need a close above 1650-1675 to neutralize.
Intermediate Term=Bearish –need a close above 1448 for bullish
Short Term=Neutral -close below 1371 bears could take control. Got to hold 1371 closing basis otherwise 1343-1363
Support and Resistance
(NOTE JUNE GOLD NUMBERS)
Initial Resistance 1391-1401 and 2nd tier 1426-1434
Initial Support 1365-1377 and 2nd tier 1348-1358
Medium Term=Bearish Need a close above 1650-1675 to neutralize.
Intermediate Term=Bearish –need a close above 1448 for bullish
Short Term=Neutral -close below 1371 bears could take control. Got to hold 1371 closing basis otherwise 1343-1363
Support and Resistance
(NOTE JUNE GOLD NUMBERS)
Initial Resistance 1391-1401 and 2nd tier 1426-1434
Initial Support 1365-1377 and 2nd tier 1348-1358
Gold Short Term
The yellow line where gold touched on Monday is support at the 1358-1363 area. Any move below 1366 favors a test the lines at 1350-1360. Resistance wis the 1390-1399 area and then 1404. We have reached 1394.40 twice this week so that’s key resistance.
A close above 1404 would open the upside to 1426-1440.
We discussed watching the 1370-1373 all week and the low on Thursday was 1373 August gold. So far the lows have held the 1366 hourly support and might have been the low for the week. An hourly close below 1366 would open the door to 1350-1360. For now we've gotten out bounce and high for the week on Wednesday. Now to see if it ends here at 1394-1404. The choppy conditions persist in gold and while the short term cycle still points down, the COT position in gold leaves the potential open for and explosive situation should gold catch a bid. If gold closes above 1404 then the downside trend is neutralized and would allow for further gains. Watch 1394-1404 and especially the 1390-1399 area. That’s where the majority of resistance resides.
What Next?
After holding 1366 on an hourly basis and having Wednesday’s low at 1372 and Thursday at 1373, gold has bounced back to traded to 1394 on both days. Odds still favor this area should hold as the weekly high. It can go either way on Friday. If the cycles play out we should bottom next week. THERE’S ANOTHER 8 WEEK CYCLE that has been running that has gold making a low on June 12-13th, but we’re still favoring our regular cycle. However, IF we close above 1404 then the downtrend will be neutralized. Otherwise the downtrend is still in play until the 23rd (plus or minus 24 hours).
Gold has absolutely no trend at the moment and the chart below by McClennan report show the chop index at the peak of its indication, meaning odds favor the chop to end and for gold to make a short term move. Lets see if Friday stays the same or if we get out of this 1370-1400 range. It can go either way. The bears have a slight edge but if we get above the yellow trend lines on the hourly chart and 1404 then 1430-1444 comes in play.
Bottom line
Cycles and seasonal favor gold is going to make its lows and a medium term rally should be developing that will retest 1480-1520. But we need to close above 1404 and then 1430 to get the ball rolling.
YOU SHOULD NOT TAKE ANY MATERIAL posted on this BLOG AS RECOMMENDATIONS
TO BUY OR SELL GOLD OR ANY OTHER INVESTMENT VEHICLE LISTED.
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.
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
