Gold Keeps Heading Lower as Predicted: What Lies Ahead for the Yellow Metal?
2023.08.16 05:19
lower as predicted to my next target and only support of note this week at 1900/1895 (& we made a low for the day exactly here yesterday). I am betting on a bounce from here in severely oversold conditions.
Gold weekly chart
A break above 1911 is a buy signal for today & should hopefully trigger gains to targets: 1914, 1920, and perhaps as far as 1928. A break above 1932 can target 1938/40.
Gold daily chart
Longs need stops below 1890. A break below 1890 this week is an important sell signal. If this happens today, first target is 1870/65 but 1845/40 is not out of the question.
Gold 4-hour chart
finally hit my target & strong support at 2245/25 as we become oversold, with a low for the day exactly just 5 ticks below & a good bounce. Again, longs need stops below 2210. Targets: 2295, 2320.
September made a false break above resistance at 8250/8350 before rejecting the 500-day moving average at 8480. My bad – I did not think this would have enough power to end the rally. There was almost a bearish engulfing candle on the 10th of August & in hindsight, I should have called a top in overbought conditions.
The break below 8150 yesterday was my sell signal & a break below 8050 is the next sell signal if seen today. This could accelerate losses, targeting 7950/30, probably as far as strong support at 7830/00. Longs need stops below 7750.
So for now I must assume we are in a 9-month sideways channel from 6400/6300 up to 8250/8450. Today’s resistance at 8150/8200. Shorts need stops above 8260.
