Gold – Finds Support After Touching Five Year Low

By Unknown

Kamis, 04 Agustus 2016

Gold – Finds Support After Touching Five Year Low

Or looked quite bearish for some time and now it has crossed another medium - $ 1142.73 17 March low - failed in the first two periods of application.

The next key support level is around $ 1131.50, a break that would see gold trading at its lowest level since 19 April 2010. The displacement following the break of the previous level was very aggressive and we already see the new carrier tested.

If this is the first attempt, the first net resistance will be $ 1142.17, the previous support. Very often, the old support levels turn into resistance and vice versa. A failure to break through these levels is seen as confirmation of the initial break and in this case would be very bearish.

There are no guarantees that we will see it though as there seems to be a lot of momentum behind this movement. A sign that the current support might take could come from the MACD and Stochastic. If they show a divergence with the price action, it suggests the momentum has been lost

Paired with a reversal on the cards -. Such as the type or bullish engulfing the morning star formation, or even some smaller thing if you prefer a signal as soon as a hammer candle - which can be considered short-term bullish. This could even be on the chart 1 hour or even 30 minutes, although the lowest temporal frame, the less reliable since the major part of the analysis for the movement just 4 hours and daily charts.

The rebound we have seen suggests that this level is well supported.

[ad_2]
Read More : Gold – Finds Support After Touching Five Year Low

Share :

Facebook Twitter Google+