In the daily charts, the short term directional indicators
strongly resisted being forced cutting back higher and so, the indicators did
not confirm a cutting up for the higher.
This now puts added pressure on gold
to double back down. In its own tiny way, a miniscule divergence, if you would,
just happened here.
The medium term trending indicators have also unwound
itself as it was twisted the other way round in the previous session and now,
back to looking set for more downside forays.
Sometimes the market needs to do
this in order to resynchronise itself or the other indicators run out of room
to make more headway too quickly and too soon, bringing about a premature
ending to nicely wrought trend already in place.
The long term directional
indicators are mired within itself and if it remains within the channel, gold
is not going to push too far just yet. It may take at least a week or two before
a new directional emerges and gold could be trapped between 1240 to 1260 for
now.
However, I hope that will not be the case as that really drives interests
out the door.
The momentum/volatility indicators had a change of heart and are
now retreating as quickly as it roared into some semblance of life yesterday.
However, it is still a small gain as it lost 2 notches for the 3 notches
gained.
The positive bias is narrowing again but still a little too far apart
to turn negative, at least for today.
Interim supports are at 1242, 1236 & 1234 with minor
supports at 1239.40, 1228 & 1218.40.
Interim resistances are at 1250, 1258.50 & 1267 with
minor resistances at 1251.70, 1268.30 & 1277.30.
The daily/weekly trend changer points are at
1242.20/1204.85.
Note : The daily point has crept up so high that can be
easily breached now. Let’s hope market goes for that.
No comments:
Post a Comment