Investing.com - Financial Markets Worldwide
Get 40% Off
Get 40% Off
These stocks are up over 10% post earnings. Did you spot the buying opportunity? Our AI did.Read how

Friday's Gold Technicals

ByGoldTradingExperts.com
Published 07/11/2014, 07:09 AM
Updated 07/09/2023, 06:31 AM

Gold powered through resistance at 1333 yesterday morning, surging as high as 1345 as fear of a Portuguese banking crisis swept through the markets, sending equities tumbling sharply lower.

Gold retraced back to 1335 later in the sssion but crucially closed above 1333 and is set to close the week above both the 65 week MA and the long term down trend channel in a potentially significant move. Strong follow through buying next week and a break of 1350 would confirm that the intermediate term down trend is over and the bulls are back in charge of gold.

If this scenario is playing out, we would expect a sharp correction in equities and continued dollar weakness as well - things could get interesting for the rest of the year if this is what is happening!

Support can be found at 1333, 1325-1326, 1318-1322, 1310, 1306, 1300, 1289, 1285, 1263, 1257-1260, 1250-1252, 1237-1240, 1220-1225, 1210, 1200 and 1180. A break of 1180 would have serious bearish implications for gold and suggest a decline to 1000-1050 in the short term - however the break below 1250 seems to have been invalidated, indicating that a return to 1180 is now much less likely.

Resistance can be found at 1340-1342, 1352-1354, 1392-1395, 1400, 1420 and 1435. We are now breaking through the key 65 week MA - this would suggest that the intermediate down trend is at an end and higher prices are ahead.

Latest comments

Install Our App
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.