I posted an idea a few months ago predicting this bearish move in gold. Since then it has been going according to plan with gold prices dropping.
My earlier gold prediction was that it is on the way down to retest the purple trend support line. Many people are already calling the start of a BULLISH gold market but in my view THIS IS NOT THE CASE.
We have not yet retested the 10 year trend support. Seeing as gold bounced off the 150MA last week it is likely that we will see it continue down to the lows of about 1080-1133. There I will join the BULLS as I do think that gold is severely undervalued at this point of time given all the world conditions at the moment. We are faced with Brexit, change of US presidents, Oil crisis and more. This in my view means gold to rise once again soon but not before we retest the purple trend line at levels of 1080-1133 mentioned.
To sum up:
Short Term - Short Bias - Targeting 1080-1133
Long Term - Bullish Market - 2000?
I'm currently looking to enter short at 1204 but this will be posted in another idea later.
Safe and Successful Trading.
My earlier gold prediction was that it is on the way down to retest the purple trend support line. Many people are already calling the start of a BULLISH gold market but in my view THIS IS NOT THE CASE.
We have not yet retested the 10 year trend support. Seeing as gold bounced off the 150MA last week it is likely that we will see it continue down to the lows of about 1080-1133. There I will join the BULLS as I do think that gold is severely undervalued at this point of time given all the world conditions at the moment. We are faced with Brexit, change of US presidents, Oil crisis and more. This in my view means gold to rise once again soon but not before we retest the purple trend line at levels of 1080-1133 mentioned.
To sum up:
Short Term - Short Bias - Targeting 1080-1133
Long Term - Bullish Market - 2000?
I'm currently looking to enter short at 1204 but this will be posted in another idea later.
Safe and Successful Trading.
