Weekly Analysis For Gold
FХ Strategist & Financial Commentator
As predicted on last week’s video, Gold has made a technical correction towards 1680 area, forming a shooting star on the weekly chart, that over the next few sessions could lead to a further bearish acceleration in case this week will end up with a closure around 1650.
Looking at the RSI indicator, we can see how a bearish divergence is forming and this element could confirm the chance of a further fall of the Gold in the next few weeks, even though in my opinion the bearish correction should be characterized by a modest entity.
Looking at the daily chart, we can see how during yesterday’s session Gold made a first test of the support nearby 1660 with a closure towards 1685 area.
The technical scenario by the way is definitely still bullish, and actually, a bearish correction could represent an excellent buying opportunity as I believe that the ultimate bullish target for 2020 could be predict around 1920 area in the zone of the historical tops set in 2011.
The volatility is currently dropping on the daily time frame, while on weekly, we can see how it is still on tops, so I’m convinced that the months of May and June will most probably characterized by an ulterior reduction of the volatility so the next bullish acceleration towards the new target will come during the late summer.
As always, I recommend you to trade carefully and to plan at best every move. Don’t forget to subscribe to NBHM YouTube Channel to stay up to date with the financial markets! Have a good trading and See you next week for a new video about Gold!