Tronlink Wallet Airdrop: Gold Trend 27/March/2013

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=Neutral - It takes a weekly close above 1694 to turn the trend back to bullish. Resistance 1755-1765(Oct/Nov 2012 Resistance) Support 1500-1550.
Intermediate Term=Neutral --it takes a close below 1550 for bearish. 1625-1630 for bullish.
Short Term=BULLISH --- Need a close above 1622-1625 to keep uptrend going. A close below 1580 goes to neutral and below 1555 bearish.
Support and Resistance
(NOTE JUNE GOLD NUMBERS– One dollar lower for spot and $2 dollars higher April )
Initial Resistance 1602-1612-and 2nd tier 1627-1625
Initial Support 1583-1593 and 2nd tier 1573-1578 3rd tier 1555-1560

Gold Hourly Chart
Gold is rolling over from April to the June contract. Here is the April chart. There’s an important support line at the 1575 area. But this contract is just about done trading as the switch over is to June. Let’s go look at that chart.

What Next?

Wednesday has support at 1585-1593 basis June. A break below 1573 and we think the metals move lower to test supports again if not outright sell off again. We need to get above 1615-1620 and with conviction. Mid week Wednesday favors a test of the lows and then we’ll see if we can bounce.

Bottom Line

Gold and silver (esp. Silver) remain under pressure. Once again the majority believe that bank runs would explode gold higher. We feel it would a cash liquidity squeeze and that is basically what we had in 2008 and what we think would happen to gold, silver, stocks, and everything else and that’s head south. When banks run out of money everything goes up for sale in order to raise cash in markets. There’s no ok, we’ll pay you next week. So all assets become fair game.

It’s true that each panic is different and so yes, sure, the rush to gold could develop, but we don’t think that’s what the odds favored in 2008 and we stood alone then. We stand alone now with that conviction. If we were shown different we would change our minds right away.

Let’s see what develops on Wednesday.