Having had a steep rally from $1200 per ounce to a year high
of $1295.25, the precious metal has thus seen a correction trend downwards to
1263 (resistance now turned support).
Trend analysis:
Using Fibonacci extension to project the profit taking level
for the uptrend 1122.62 low reached on 15/12/2016 and high of 1263.63 reached
on 27/02/2017 at 1287.10 which was reached and slightly breached to reaching an
high of 1295.28 per ounce.
We expected profit taking to drive a corrective move downward
to 1263 a resistance now turned support and also testing the Moving Averages now
acting as dynamic support trendline (see chart below)
Currently the price of Gold is hovering around 1265 after it
reached 1263 projected end of the corrective wave.
Expectations:
Buying Gold around 1263 – 1265 zone with stop placed at 1250
and take profit level at 1301
Happy Trading day
Posts
No comments:
Post a Comment