Thursday, May 31, 2012

Technical analysis of Gold

The gold is trading near weekly support around 1530 dollar. During the last 3 weeks the gold reached 3 times that area and bounced back closing above 1530 level. Yesterday, gold created a daily bullish candle, suggesting that the power of bears is losing momentum while bulls seems to be determined to protect 1530 level. Today, with major news from the US, gold has a chance to gain momentum toward a bullish move. A buy order can be placed above yesterday’s high with protective SL below 1530. First strong resistance is at 21 daily MA. Another strong resistance is likely to appear around 1625 dollar.

No comments:

Post a Comment