Sell gold at 1665.00 targeting 1646.00.
Stop loss 1675.00
Long Term=Bullish - major yearly resistance 1792-1804 needs to be exceeded on a monthly bass and close above 1840 to resume long term up bull trend.
Medium Term=Bullish - It takes a weekly close below 1625 to turn the trend Neutral. Resistance 1755-1765(Oct/Nov 2012 Resistance)
Intermediate Term= Neutral---it takes a close below 1648 to go bearish.
Short Term= Bearish --- Need a close above 1681 to neutralize downtrend.
Support and Resistance
Initial Resistance 1664-1669 and 2nd tier 1674-1679
Initial Support 1643-1655 and 2nd tier 1627-1633
The hourly chart
The chop and overlap pattern that we warned about last week kept us from going getting bullish and once again that observation kept us from taking loses as we upped our stops at 1674 and snuck out with a profit on the website trade page. Now we can see that the downtrend since then is so far impulsive looking. The supports are from 1643-1653 and if we can’t hold there then the 1610-1620 area is the next strong support. There is minor support at 1625-1627 on a closing basis. The trend remains down. We have options expiration on Monday, Feds on Tues & Wednesday and Rollover out of the Feb contract by Thursday. Odds favor we test that 1643-1653 area with the potential for more if we can’t hold. There is a possibility we could spike towards 1675 as the option control boyz would do good on expiration if they could spike it there. If they do, it may very well be the high before the Fed meetings. Besides that, gold should remain under wraps until the feds release minutes and decision on Wednesday at 2:15 PM New York time, when the COMEX will be closed and market will be thin. It’s best to remain defensive until gold shows some type of strength in price.
What next?
With the Fed meeting on Tuesday and Wednesday and the policy announcement on Wednesday afternoon, the bears have a chance to deliver a sucker punch with the fed meeting. The control boyz have completed their work for another month as they closed out the Feb options. The rollover into April gold is over ½ complete as the volumes are about even now for Feb Gold and April. The final rollover needs to be completed by close on the 31st. A cycle turn is due and now we’re going to have to see what the Fed has it store. Once they are out of the way, then the market will present us with the jobs data on Thursday. As you can see the forces are trying to rid the market of players. That is their game plan, to totally frustrate, and make the longs insolvent. Once everyone just moves to the sidelines, then the control boyz will start taking prices back up.
BOTTOM LINE
The one thing to keep in mind is it’s not about picking the bottom. That’s how they get you. In the first 28 days of the year the closing price range has only been 55 dollars. This tight range can’t keep this way. With the Chinese New year around the corner, odds favor gold will once again try to bounce and establish an uptrend.
Let’s see what the Feds have in mind. Odds favor a push to 1667-1671 should take place and then we’ll see what the Fed has to say on Wednesday.
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INVATA SA TRANZACTIONEZI GRATIS PIPSI IN FOREX
Sell gold at 1665.00 targeting 1646.00.
Stop loss 1675.00
Long Term=Bullish - major yearly resistance 1792-1804 needs to be exceeded on a monthly bass and close above 1840 to resume long term up bull trend.
Medium Term=Bullish - It takes a weekly close below 1625 to turn the trend Neutral. Resistance 1755-1765(Oct/Nov 2012 Resistance)Intermediate Term= Neutral---it takes a close below 1648 to go bearish.
Short Term= Bearish --- Need a close above 1681 to neutralize downtrend.
Support and Resistance
Initial Resistance 1664-1669 and 2nd tier 1674-1679
Initial Support 1643-1655 and 2nd tier 1627-1633
The hourly chart
What next?
With the Fed meeting on Tuesday and Wednesday and the policy announcement on Wednesday afternoon, the bears have a chance to deliver a sucker punch with the fed meeting. The control boyz have completed their work for another month as they closed out the Feb options. The rollover into April gold is over ½ complete as the volumes are about even now for Feb Gold and April. The final rollover needs to be completed by close on the 31st. A cycle turn is due and now we’re going to have to see what the Fed has it store. Once they are out of the way, then the market will present us with the jobs data on Thursday. As you can see the forces are trying to rid the market of players. That is their game plan, to totally frustrate, and make the longs insolvent. Once everyone just moves to the sidelines, then the control boyz will start taking prices back up.
The chop and overlap pattern that we warned about last week kept us from going getting bullish and once again that observation kept us from taking loses as we upped our stops at 1674 and snuck out with a profit on the website trade page. Now we can see that the downtrend since then is so far impulsive looking. The supports are from 1643-1653 and if we can’t hold there then the 1610-1620 area is the next strong support. There is minor support at 1625-1627 on a closing basis. The trend remains down. We have options expiration on Monday, Feds on Tues & Wednesday and Rollover out of the Feb contract by Thursday. Odds favor we test that 1643-1653 area with the potential for more if we can’t hold. There is a possibility we could spike towards 1675 as the option control boyz would do good on expiration if they could spike it there. If they do, it may very well be the high before the Fed meetings. Besides that, gold should remain under wraps until the feds release minutes and decision on Wednesday at 2:15 PM New York time, when the COMEX will be closed and market will be thin. It’s best to remain defensive until gold shows some type of strength in price.
What next?
BOTTOM LINE
The one thing to keep in mind is it’s not about picking the bottom. That’s how they get you. In the first 28 days of the year the closing price range has only been 55 dollars. This tight range can’t keep this way. With the Chinese New year around the corner, odds favor gold will once again try to bounce and establish an uptrend.Let’s see what the Feds have in mind. Odds favor a push to 1667-1671 should take place and then we’ll see what the Fed has to say on Wednesday.
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
