May 12, 2012

GOLD Weekend Update

  • GOLD Weekly candle has closed below the weekly cloud after 3 Years.
  • Price has also broken the long term support line on closing basis.
  • For bears of gold next hurdles are the triangle support line and the crucial swing low of 1522.We might be seeing an important top for gold if these two levels gets broken. If price gets support here an up move is possible towards the triangle resistance line.

CISCO Month in a Descending triangle

  • First chart is the weekly time frame of cisco with the resistance line which may act as support during this fall.
  • Next chart shows the Fibonacci levels which may act as support. Price may take support near 61.8 the Golden ratio or at 15 which is the 78.6% Fib level. 
  • Downward momentum looks strong and if the above levels fail to hold the stock price may fall towards the support line of the descending triangle which is between 13.30 - 13.63

S&P 500 Analysis after closing bell

  • SPX Weekly closed at the 20 Week SMA. 
  • Price closing below 1343 may strengthen bears further.
  • Bearish cross of 20 and 50 day sma continue to be effective. Price also failed move or close into the cloud. Sustaining below the cloud is bearish.
  • One hour chart shown with 50 Hour SMA and Cloud. For a possible up move these two levels has to be broken. Unable to break above this will result in another fall.