In the daily charts, the short term directional indicators made
an etching at the barrier of the overbought region and turned lower from there.
In itself, not a very good omen as it could mean softness for at least a week
and a half.
The medium trending indicators have fallen short of their potential
as it failed to close above 1310 at last week’s closing.
Having recovered well
and had a good run higher, it has achieved a considerable height.
These
indicators are trying to cut and confirm lower and if it is successful, will put
tremendous pressure on gold and it will be utterly depressed and a re-visit of
recent lows is not out of the question.
The
long term directional indicators are still intact and should help bolster the
market around here and slippage might be capped.
However, drifting too far away
from recent highs will put a strain on these indicators and it might be forced
to bend with the wind and succumb to fresh selling pressures.
The momentum/volatility
indicators was on the verge of pushing it up a couple of notches but as of last
Friday’s move, remained unmoved but the positive bias, is getting a lot
narrower and maybe 3 days from a turn around.
Interim supports are at 1284, 1278.50 & 1262.50 with
minor supports at 1282.50, 1278 & 1270.60.
Interim resistances are at 1289.50, 1298 & 1310 with
minor resistances at 1291.40, 1305.90 & 1316.
The daily/weekly trend changer points are at
1274.85/1362.05.
Note: Possibly Clinton’s “exoneration” triggered a bout of selling as the market opened markedly lower from New York’s closing.
No comments:
Post a Comment