Gold: the corrective medium term outlook weighs [Video]
|Gold
We see near term rallies on gold struggling to sustain traction as the corrective medium term outlook weighs. Subsequently, in the past week, the failure to break through the resistance band $1474/$1480 seems to now be weighing on gold. The technical rally has rolled over and in posting three negative candles in a row, the sellers are gaining control again. A mild unwind on indicators such as RSI and Stochastics seems to be a chance to sell. The RSI faltering below 40 along with the failure for the MACD lines to make any sustainable recovery, leaves the sellers on the brink of decisive control again. As the market has formed lower highs and lower lows in recent days, intraday rallies are already struggling, with Friday’s high of $1472 another barrier to gains now. A move below initial support at $1456 opens $1445 again, whilst the medium term retreat towards $1400 is still possible in due course.
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.