Bull run is not over in Gold
GOLD
Gold has made a DT at 1437/39....Now this is not to say that the bull run is over in Gold, but what we could be seeing is a correction. Now what I said Monday still applies....the break point is 1380..so anywhere down there towards that area say 1385 you should see buyers coming into that area...
However I still think Gold is a buy, so what we could do is buy into 1405....add towards 1380 and place stops then below 1374...I know that it seems a long way off..but Gold has been winging about this past 4 weeks....so there is a chance that the market can come lower...on a correctionary basis only...
We have to take stock that Gold has first the first time in 6 years broken 1380...this is a massive step...If you look at the longer term charts that I have been posting onto the group you can see that this break is a big deal and the return to break point of 1380 re-enforces that the market has made a break topside...
If you look at the monthly charts you can see long term Gold is in a uptrend...yes we have been capped at 1380 for 6 years...but it isn't now....so even if you are a short term trader you still have to remember that you are buying dips....Technical indicators are neutral....so as I said...either we buy down to 1405/1380...or buy a break above 1444..that clears the short term DT and sees the market a lot higher...
Author
Carol Harmer
Charmer Trading
Carol Harmer has over 39 years experience of analysing and trading the world's markets and is undoubtedly one of the most respected technical trader in the world today.
