Tomasz Wisniewski
Axiory Global Ltd.
It was a month ago when we last time wrote about Gold. In our analysis we stated that in the long-term we are still bullish on this asset and that was said when the price of the Gold was around the 1190 USD/oz. Well, now we are almost 70 USD higher and it looks like the price will continue to go up in the next few weeks.
End of the January was very good for this precious metal. On 27th of January, the price created the hammer bouncing from the 23,6% Fiboancci and that is when we started a very strong upswing. We managed to break both 38,2% and 50% Fibo. Now, the price is locked inside the channel up formation (red lines) and is on a best way to test the long-term downtrend line (purple), which is located slightly below the 61,8% Fibo. That can be the closest resistance for now but it is still 20 USD away so we still have time to jump in to that train.
The price of the Gold will be definitely influenced tomorrow when Donald Trump will have his long-awaited speech. Serious proposals about the tax reform can be beneficial for the USD so in the theory - negative for Gold. To be honest with You, for the last two months Gold goes up anyway so sentiment here stays positive anyway. Buy signal will be denied once the price will come back below the 38,2% Fibo but chances for that are now limited.
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