If gold today closed at the daily high, it would confirmed the bullish reversal, at least for the short term. However, the bearish pressure was very strong closer to the end of day. Let’s try to decipher the messages from the candles, TA and waves.
This daily overview contains:
– analysis of the daily and weekly candle charts and TA;
– 2hr EW chart with the short-term targets;
– mid- and long-term forecasts.
The quarterly and monthly frames remain bearish.
After yesterday’s Piercing Line, gold failed to close just 3 points higher to confirm and it leaves both paths quite open.
A closure above ~$1791 tomorrow would put the bulls in the driver’s seat. Any price below this level and the odds remain neutral.
We should remember that even if gold confirms in the next few days, gold could rally for several days and even weeks. However, the larger frames are bearish and it is premature to talk about possible major reversal until we can see a strong weekly signal.
The short term path remains the same as it was outlined several weeks ago. Possible target area is marked by a rectangle.
The long term perspective also remains unchanged.
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