September 14, 2011

GOLD Moving towards the trend line

  • GOLD Daily chart shows price moving towards the trend line.
  • If the trend line is held an upper breakout is possible
  • Four hour chart shows price in a triangle 
  • Crucial support here is 1792. If this number is held an upper breakout is possible
  • Price breaking the trend line and staying below 1792 may give a correction.

3 comments:

  1. You can actually see an ascending triangle and descending triangle. Which way will it break? Should find out soon.

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  2. good morning,i think,-ve dive in macd on daily chart,(gold)how much it affects?
    am i right or wrong.pl. comment.

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  3. @chetan
    Negative divergence tend to under perform on gold because of its primary trend. But recently there was one trend line break which was preceded by negative divergence which did well.
    we have to wait and see as shawk said there is a bearish and bullish possibility.
    I would prefer a false breakdown followed by a big up move towards $2000.

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