It’s interesting how one powerful daily candle could change the odds from strong bullish to moderate bearish. Today gold closed with a Dark Cloud Cover candle flipping the short term odds to the dark side.
If you are looking for the mid- and long-term forecasts, it is more beneficial to focus on the weekly and monthly candles and analysis.
Levels to watch
- If in the next 1-2 days the stock closes below 1719.31, the continuation of the bearish trend would be confirmed.
- In order to make a bullish statement, gold spot needs to close with a green candle, ideally above 1760.02 and above the weekly 8 EMA line.
- There are so many possible options for the weekly candle, so it is better to wait for the week to end and evaluate after.