- Gold moving towards its 50 Week Moving average.
- Price breaking below 50 Week SMA will lead to the support line of the channel.
- Only if price breaks the channel support line the bullish structure of gold will get tested. For bulls of Gold the channel should hold to avoid a bigger correction.
- Four hour chart is shown with a contracting triangle with price near the support line of the triangle.
- If price gets support at the line and 200 period SMA then an up move is possible in crude.
- Price closing below 200 period SMA may lead to a deeper cut in crude oil.
- S&P 500 ANALYSIS AFTER CLOSING BELL
- Nifty four hour chart shows immediate support for nifty between 4720 - 4728 level.
- For bears to have big gains they have to break below 4720 and 4639.
- If 4728 is protected by bulls They will move towards 5099 or above as happened in the recent past.
- Monthly chart with 20 SMA and Daily chart with 50 SMA is favoring bears right now. Price is holding above crucial moving averages in these time frames But is likely to break below it.
- Four hour chart is shown with Ichimoku cloud. If the cloud breaks then bears will be in control.
- Only hope for bulls is the last chart For this one too the handle should not retrace more than 50% for this pattern to work effectively. So today's low should be protected by bulls. Breaking today's low may lead to correction till Golden ration.
