What is with Gold and the Full Moon?
|Time to check in on Dec. Gold, which is up a couple of bucks today as it continues to attempt to hold above its 200 DMA (1274.40), and its Oct. Double Bottom lows at 1262.80 and 1263.80 ahead of another Full Moon this Saturday.
One of the quirky behaviors of Gold this year so far has been directional reversals around the time of Full Moons, as we see from the attached daily Dec. Gold chart. Although the reaction to the Oct. 5th Full Moon has been neutral at best, or perhaps described as a failed rally effort, maybe that price action suggests that the reaction to the next Full Moon will be positive? Who knows? I just bring up the timing of the next Full Moon on Nov. 4th to alert you to a potential directional catalyst.
Back down on Earth, Dec. Gold is wedged-in between resistance along its Sep.-Nov. down trendline at 1284.00 on the high side, juxtaposed against the Oct. Double Bottom on the low side (1262.60-1263.80) . Strength that takes out 1284 on a sustained (closing) basis will trigger upside projections to test the 10/16 high at 1308.40. Conversely, a break of the Double Bottom will point Dec. Gold to 1230-1220.
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.