Tuesday, 30 August 2016

Will Gold Start Moving to the Upside?




One has to wonder whether this is the end of the current move to the downside for Gold when they examine the daily time-frame. After the fundamentals on Friday Gold formed a whipsaw, which translated into a spectacular doji candlestick on the same time-frame. Yesterday Gold formed a hammer candlestick on the daily time-frame again and both are above the support at $1,317. Both of these candlesticks individually are a signal that we might have to prepare for a reversal, together they are an even more telling signal.

If said signal proves valid Gold will likely start moving to the upside towards $1,330 - $1,340 again.
The target to the downside, however, remains unchanged at $1,300, which coincides with (MA)89 on the daily time-frame.

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