Science Investing Team
Science Investing
A slightly lower low remains our base case for gold. Sentiment remains depressed throughout the entire precious metals complex. Moreover, gold, silver, and platinum diverged into a non-confirming low to each other. Silver was the laggard during that process. Last but not least, we continue to expect a final leg down for the EUR/USD before bullish price action unfolds. Gold correlated positively with the EUR/USD in recent history. All in all, these are hints of a nearby trend reversal for gold.
Could we have missed the turn already? There are roughly 25% odds that we did. The next hint regarding that is an impulsive crossing of the 1,240 figure. Minute wave ii(circle) was complex and deep. A 38% Fibonacci retracement is still shallow for a fourth wave and meets alternation guidelines. It runs around 1,238. Taking that out would have probably bullish implications.
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The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors. Reproduction without ESI Analytics’ prior consent is strictly forbidden.
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