Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Gold Breaks Important Support

Published 09/26/2022, 10:16 AM
Updated 07/09/2023, 06:31 AM

Spot Gold we predicted: Likely to be forming yet another bear flag, meaning eventually we will break lower, but it is impossible to know the timing.

Gold Weekly Chart.

Well, it happened on Friday!. Selling at resistance at 1675/80 worked last week and finally it broke below 1650. For the next sell signal, we are initially targeting 1640/35 – a low for the day. The outlook remains negative.

Silver we predicted: Key support at 1950/30. A break below 1920 is a sell signal.

Silver also broke lower to the next target of 1880/70, with a low for the day exactly here. The outlook remains negative.

WTI Crude November made a breakout of the September low at 8125/8090 to the downside as predicted for an obvious sell signal targeting 7950/20 and 7800, a low for the day, in fact

Remember when support is broken it usually acts as resistance and vice-versa.

Today's Analysis

Gold broke lower and kindly retested the break point at 1650/55 to allow us to get in to short after the sell signal was triggered. We hit the next target of 1640/35, as we look for 1610/00. I am looking for a break below 1590 to targets 1560/55.

Gains are likely to be limited, with key resistance now at 1650/55. A break higher, however, can target 1680/90. Shorts need stops above 1700.

Silver broke key support at 1950/30 for a sell signal targeting 1880/70, perhaps as far as 1850/40 on Monday. If we continue lower look for 1810/00.

First resistance at 1930/50. Shorts need stops above 1960.

WTI Crude November shorts on the break below 8090 worked perfectly, targeting 7950/20 and 7800. From a 1 month trend line at 7800 down to the 100 week moving average at 7750 is first support today. A break lower is another sell signal targeting the 500 day-moving average at 7630/00. Failure to hold above here is an important longer term sell signal.

Latest comments

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.