Weekly Analysis For Gold
FХ Strategist & Financial Commentator
Looking at the RSI indicator, we can see how the bearish divergence that I have already showed in some previous videos, is continually extending, even though it’s not able to produce a significant correction and this element should be considered a clue of a possible new bullish extension in the next months.
Looking on the daily chart, we can detect a forming congestion around 1700 area, with a great chance to generate a trading range at least for the next two or three weeks.
The long term trend is anyway still bullish, and in my opinion, only a weekly close below 1650 area could – temporarily – change this scenario. In any case, as already anticipated, I believe that the bullish target for 2020 could be predicted nearby 1920 area around the historical tops set in the 2011.
Talking about the volatility climax, we don’t have relevant news compared to last week, with the ongoing declining started in the second half of March so considering this I confirm that the months of May and June should be characterized by a trading range climax so most probably the next acceleration towards the target price should take place during the 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!