GOLD forecast
9 March 2010
The levels of the market’s turn displaced
Uptrend development should be expected in case the gold rises above level 1130. If so, it will get to 1123. Further upside to 1135 is also possible.
If the gold drops below 1101, a downtrend will begin to develop having drop targets at levels 1093 and 1066.
H4 graph
Uptrend development should be expected in case the gold rises above level 1130. If so, it will get to 1123. Further upside to 1135 is also possible.
If the gold drops below 1101, a downtrend will begin to develop having drop targets at levels 1093 and 1066.
H4 graph
(see daily graph)
We’re having a “triangle” figure, but leaving it to either side will not determine the trend’s direction for sure. That’s because the market is trading between two strong trendlines, which determine the direction by themselves.
So, in case the gold rises above level 1052, it will get to 1171 (and possibly to 1200). We may try buying above 1149 having the target at 1171 and stop loss below 1136.
I don’t consider selling as a certain signal so far.
We’re having a “triangle” figure, but leaving it to either side will not determine the trend’s direction for sure. That’s because the market is trading between two strong trendlines, which determine the direction by themselves.
So, in case the gold rises above level 1052, it will get to 1171 (and possibly to 1200). We may try buying above 1149 having the target at 1171 and stop loss below 1136.
I don’t consider selling as a certain signal so far.
Daily graph (08.03.10)
The gold is constrained within two strong trendlines - the higher bound of weekly downtrend (red “F-F+”) and the “neckline” (purple trendline). There are 2 variants of events to proceed form now:
1. In case the gold rises above level 1052, it will get to 1171. We also may expect it to rise to 1200, if the up-trending momentum proves to be good.
2. In case the gold drops below level 1112, it will get down to 1083. And if it goes even lower, we will be at 1040 afterwards.
I’m inclined to variant #1, nevertheless I will trade depending on the levels.
1. In case the gold rises above level 1052, it will get to 1171. We also may expect it to rise to 1200, if the up-trending momentum proves to be good.
2. In case the gold drops below level 1112, it will get down to 1083. And if it goes even lower, we will be at 1040 afterwards.
I’m inclined to variant #1, nevertheless I will trade depending on the levels.
Weekly graph
Globally the gold is trading along the “E-E+” uptrend, and it is supposed to retreat to the trend’s lower bound soon. Locally, it is trading along the “D-D+” downtrend, the signs of which are already seen at daily graph (see daily graph).
Now if the gold drops below level 1039 (below D trendline), the market will move for testing the temporary support “Z” at level 975. After that a rebound (correction) will probably proceed, getting to resistance 1039, which is formed by “K” trendline. Then the downtrend will be resumed and the gold will get to an intermediate support 970 (the same Z again). And in case it will get under level 958, it will reach the strategic support level 862 (the lower bound of the “E-E+” uptrend).
