Sive Morten
Special Consultant to the FPA
- Messages
- 18,715
Greetings, guys,
Gold still has got some power to continue downside action - as it should, according to normal technical behavior.
But it seem that political driving factors support gold as action still looks to slow and smooth. Besides, we're getting the new one - India and Pakistan conflict and nobody knows what waits us at the final.
Although we look for H&S pattern on daily chart - difficult political situation makes long-term forecast in vain. It would be nice if we could foresee what will happen today-tomorrow at least.
But market drops lows, grabber has been erased and we still watch for 1300-1303 area:
On 1H chart, as soon as 1325 area has been broken and gold was not able to complete minor reverse H&S pattern that we've discussed yesterday - price has dropped and our 1317 target has been hit. This is COP extension and butterfly.
Within 1-2 sessions we expect upside retracement. As market climbs to 1323 rather fast - our primary area to watch for is K-resistace around 1328.
Upside breakout of this level will be warning sign for bearish context and could suggest either large AB-CD upside action, or even previous highs challenge. But, somehow I suggest that this should happen on background of some breaking news either political or economical (NFP stands tomorrow).
That's being said, today all eyes on 1328 K-resistance.
Gold still has got some power to continue downside action - as it should, according to normal technical behavior.
But it seem that political driving factors support gold as action still looks to slow and smooth. Besides, we're getting the new one - India and Pakistan conflict and nobody knows what waits us at the final.
Although we look for H&S pattern on daily chart - difficult political situation makes long-term forecast in vain. It would be nice if we could foresee what will happen today-tomorrow at least.
But market drops lows, grabber has been erased and we still watch for 1300-1303 area:
On 1H chart, as soon as 1325 area has been broken and gold was not able to complete minor reverse H&S pattern that we've discussed yesterday - price has dropped and our 1317 target has been hit. This is COP extension and butterfly.
Within 1-2 sessions we expect upside retracement. As market climbs to 1323 rather fast - our primary area to watch for is K-resistace around 1328.
Upside breakout of this level will be warning sign for bearish context and could suggest either large AB-CD upside action, or even previous highs challenge. But, somehow I suggest that this should happen on background of some breaking news either political or economical (NFP stands tomorrow).
That's being said, today all eyes on 1328 K-resistance.
