Having had a strong downward movement for 3 consecutive
weeks (1290.16 fall to 1228.08), the precious metal failed to continue the
downward momentum as it finds support at the 1214 (demand trendline on the
daily timeframe).
The weekly candle shows indecision with a weekly Doji candle
formation.
The down trend from 1290 halted at SMA100 therefore had a
pull back to a high of $1231 per ounce. and RSI 14 day period continues to trade at the bearish territory
On the lower timeframe, 4 hours chart sees the metal
continue to trade below the Moving Average and finds resistance at the EMAs 20
and 34.
What to look out for
in the coming week:
A bearish candle close below SMA 100 and demand trendline on
the daily timeframe would set the pace for a fall to $1200 a psychological
level for the precious metal. On the other hand, the metal trending up in the
coming trading sessions would be seen as a corrective move within a triangle
until there is a bullish close above the long term downward sloping trendline.
Key levels to watch are resistance 12600, supports 1213 and
1200
Posts
No comments:
Post a Comment