Gold saw a negative week altogether, closing down to -1.5% due to a risk-off the market, as positive US political news coupled with positive trade war talks. We saw Gold close below $1,500 for the second time in the last 3 weeks (marked by the yellow arrow). Price closing down at $1,497.20 along with a +1.4% rally to only then fail, showed us that the market has a weakness.
We are expecting our downside analysis to $1,400.00 to continue in the next few weeks. From a technical look, price closed below the updated trendline on our 4 HR chart, signaling an impulsive move to the downside. If price moves impulsively, we will eventually see a smaller time frame correction pattern and a continuation to our target.
THE PLAY: We are holding our sell as we’ve entered on a close below $1,485.00
We are expecting our downside analysis to $1,400.00 to continue in the next few weeks. From a technical look, price closed below the updated trendline on our 4 HR chart, signaling an impulsive move to the downside. If price moves impulsively, we will eventually see a smaller time frame correction pattern and a continuation to our target.
THE PLAY: We are holding our sell as we’ve entered on a close below $1,485.00