Slobodan Drvenica
Windsor Brokers
GOLD
Spot Gold consolidates above fresh session low after it met targets at 1214/12 (Fibo 100% Expansion of wave C from 1270 and Fibo 76.4% retracement of 1190/1283 rally.
Yesterday’s sharp fall of $27, left long red daily candle, generating strong bearish signal.
Failure swing pattern was formed on daily chart, after the price fell and closed below former key support at 1225 (former higher base / Fibo 61.8% of 1190/1283 rally), signaling further downside action, as daily studies turned into bearish mode (daily 10,20 & 30SMA’s are turning south, with formation of 5/30SMA’s bear cross at 1237).
The third wave of five-waves pattern from 1283 peak, could extend through psychological 1200 support, towards 1195 (daily Ichimoku cloud top) and 1192, its 138.2% Fibonacci Expansion, which lies just above key short-term support at 1190 (16 Feb trough).
Meantime, correction on oversold conditions of near-term studies is expected to precede fresh weakness.
Initial resistance lies at 1223 (Fibo 23.6% of 1259/1212 downleg), ahead of former base and broken Fibo support at 1225. Extended rallies should be ideally capped at 1230 (Fibo 38.2% of 1259/1212).
Res: 1223; 1225; 1230; 1227
Sup: 1212; 1208; 1200; 1192
Spot Gold consolidates above fresh session low after it met targets at 1214/12 (Fibo 100% Expansion of wave C from 1270 and Fibo 76.4% retracement of 1190/1283 rally.
Yesterday’s sharp fall of $27, left long red daily candle, generating strong bearish signal.
Failure swing pattern was formed on daily chart, after the price fell and closed below former key support at 1225 (former higher base / Fibo 61.8% of 1190/1283 rally), signaling further downside action, as daily studies turned into bearish mode (daily 10,20 & 30SMA’s are turning south, with formation of 5/30SMA’s bear cross at 1237).
The third wave of five-waves pattern from 1283 peak, could extend through psychological 1200 support, towards 1195 (daily Ichimoku cloud top) and 1192, its 138.2% Fibonacci Expansion, which lies just above key short-term support at 1190 (16 Feb trough).
Meantime, correction on oversold conditions of near-term studies is expected to precede fresh weakness.
Initial resistance lies at 1223 (Fibo 23.6% of 1259/1212 downleg), ahead of former base and broken Fibo support at 1225. Extended rallies should be ideally capped at 1230 (Fibo 38.2% of 1259/1212).
Res: 1223; 1225; 1230; 1227
Sup: 1212; 1208; 1200; 1192
The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.
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