In the daily charts, the short term directional indicators
started pushing into the oversold zone now.
It has some distance to go before
it hits the floor.
For that to happen, it will need gold to be testing at least
1210 at the barest minimum and nothing to say it could not push lower if it
wanted to.
However, being at such low levels, every inch lower will become more
and more strenuous and the natural tendency is to spring back higher once below
the zone which could happen in a series of hiccup like movement before the
decisive move comes.
The medium term trending indicators are continuing lower
and there is still room to explore lower and the softness could persist for
another 2 weeks at the maximum.
The trend
is still hale and so far, nothing to suggest it is slowing down anytime soon.
The long term directional indicators are looking devilishly wicked at the
moment.
The only one minus is, gold is rubbing its rump on the lower channel,
so the push lower might not be as swift and smooth as we like.
I think
naturally we will not go very fast sliding down a sandpaper slide, and every
few inches, try to get a little reprieve by bouncing up and down.
The momentum/volatility indicators are
momentarily in suspension and a little difficult to break out of the stale
mate.
The negative bias retracted just a little as the market has not pushed
past the earlier session’s low but the legs are opened wide and not in danger
of cutting back over in the next couple of sessions.
Interim supports are at 1222.50, 1205.50 & 1200 with
minor supports at 1224, 1218.40 & 1208.80.
Interim resistances are at 1236, 1240.50 & 1250 with
minor resistances at 1238, 1242 & 1251.70.
The daily/weekly trend changer points are at 1269.10/295.45.
Note: Mib will be away the whole of next week and be back on the 15th May.
No comments:
Post a Comment