Gold: Break Below $1902 Can Target $1893/90
2023.01.16 11:47
- Gold broke through resistance at 1878/88 and cleared 1895 for a buy signal targeting 1905 and 1915, perhaps as far as 1925.
- A nice move last week at the end of the week as we beat 1895, reaching 1921/22 on Friday.
- Silver is in a consolidation after three months of gains as we wait for a clear breakout.
- WTI Crude February collapsed in the first week of January and recovered almost all of the losses last week.
- We could form an inverse head and shoulders with the neckline at 8100. So a break above here is a buy signal.
Today’s Analysis
Gold buy signal has been triggered targeting 1905 and 1915, and 1925. The following targets for this week are 1935 and 1939.
First support at 1910/05. Longs need stops below 1902. A break lower can target 1893/90.
is stuck in a range from 2350 up to 2455 for four weeks. The first support at 2380/60 could hold the downside. Better support at 2330/20.
Holding above 2380 can target 2410, perhaps as far as 2430/40. Minor resistance at last week’s high of 2450/55, so a break above 2460 should be a buy signal this week.
February beat strong resistance at 7550/7600 to target 7800/20 and even 7900/30 yesterday, as expected. Further gains look likely on Monday and meet resistance at the upper trend line of the 6-week range at 8090/8100. A break above 8130 meets stronger resistance at 8180/8210. A high for the day is possible, but shorts need stops above 8280. A break above is an important buy signal and indicates the longer-term bull trend has resumed.
The downside is likely to be limited for Monday. Minor support at 7940/20. Better support at 7840/10.
