Gold Market News
55Gold In Narrow Range
Overnight gold prices in asia rose. Gold is now trading in a narrow range. A look at the charts shows a recent surge upward with a pause in the upward movement.
Further investigation shows that there has recently been institutional buying but that is slowing. Traders are watching for a direction in the US dollar.
After the closer on Friday we will publish the pivot points and support and resistance levels for next week.
Gold May Have Reached a Short Term High
Share it! — Rate it: up down [flag this hub]
Comments
Thanks Budwood. I havn't been able to update lately but your right. I jumped the gun a little. I'll be happy to visit your hub. Thanks for the link.
The chart above shows that Gold may have made a short term high. If you look at the Gold ETF, gld, you will see that the previous high was 90.35. If we were going to break that high we would have to surpass it on large volume.
Today we had a gap up in gold but it did not break the previous high and the volume was not that great. The weekly chart (not shown) shows that this week is approaching the previous weeks high. In order to continue the medium term uptrend we would have to hav a strong upday Friday on large volume.
The chart shows that the ETF is very close if not in an overbought state. If you are into candlesticks, today's doji shows there may be a change of direction.
When looking at the institutions, it appears that even though Gold has been moving up nicely in January, the institutions have been selling on the way up. THe one month chart of institutional activity shows virtually no institutional buying in January.
Keep in mind we are just looking at the picture in the short to medium time frame. Gold may retreat or consolidate here for the next week or so.
working
budwood says:
3 months ago
You're right, Andymanca, but you were a bit early. Gold went up to $1,024 per ounce in the first part of this month; that was a pretty good high. Now it's on the way down. It was about $930 over this recent weekend. Now, my guess is that gold prices will hit $850 or so before gold sees $1000 again.
My hub, Bud's Market Observations - March 31st , published today (March 31) discusses my reasoning. You might be interested.