Gold: 1970 is the better selling opportunity this week
|Gold – Silver
Gold Spot in a volatile sideways consolidation exactly as predicted many days ago, making holding longs risky at this stage despite the longer term bull trend. There are risks of a further correction to the downside.
Initially we held below 1925/20 for a sell signal targeting 1902/00 & bottomed exactly here. An unexpectedly strong recovery shot higher through 1930 to the next target & resistance at 1951/53. We topped exactly here. Outlook remains erratic & volatile.
I would only consider medium term long positions again on a break above 1980.
Silver Spot also in an erratic, volatile sideways trend & likely to remain difficult to trade.
Daily Analysis
Gold holding minor resistance at 1951/53 in the sideways trend targets 1935/33, perhaps as far as minor support at 1928/26. If we continue lower look for 1921 & 1914/12. Further losses retest 1902/00. A break lower targets 1193/92 & perhaps as far as 1884/82.
Resistance at 1951/53. Strongest resistance at 1970/75 today is the better selling opportunity this week. Shorts need stops above 1980. A break higher is more positive initially targeting 1990 & 1996/98.
Silver holding first support at 2705/00 re-targets resistance at 2735/40. Unlikely but further gains retest last week's high at 2760/70.
Holding below 2690 retests minor support at 2672/70. Better support at 2643/40.
Longs need stops below 2630 for 2605/00, perhaps as far as 2575/70. A break below 2560 risks a slide to 2510, perhaps as far as support at 2485/75.
| Trends | |
| Weekly Outlook | Neutral |
| Daily Outlook | Neutral |
| Short Term Outlook | Neutral |
Chart
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.