Monday, September 10, 2012

Filled Under:
, , , , , ,

Weekly Technical Analysis: Say Goodbye to $1,700 an Ounce

Gold has finally delivered the perfect price for a great reversal. To recap, gold broke out its supportive trendline that remained intact since 2008. In may 2012 the price broke below the trendline, signaling further weakness is in store. The market failed to retest the trendline, which now acts as a strong resistance. My patience paid off as gold is now testing the required level that may initiate a powerful bearish reversal in the precious commodity. The technical analysis for gold is relatively simple. As long as price remains below 1,782.00 (latter resistance) weakness is expected to reach as low as 1,450. I would then examine the possibility of further losses in the commodity.

I am aware of the Fed's rate announcement and economic projections on Thursday, 13 September where fresh round of Quantitative Easing (known as QE3) may be announced. Nevertheless I stick to the technical view of the market as the enriched fundamentals for this week are likely to weigh on the precious metal.


AUD/USD Weekly Technical Analysis


View the Original article




0 comments:

Post a Comment