​LONG TERM TREND                            BEARISH
INTERMEDIATE TERM TREND              NEUTRAL
SHORT TERM TREND                          BEARISH
VERY SHORT TERM TREND                 NEUTRAL

In our last update we commented that, following the rally in the gold price after finding short term support at the 2017 down trend line at 1160, we suspected that the rebound had some legs left with 1220 a potential target level.

As it turned out, the rally did have a bit further to go, however gold didn’t quite make 1220, finding resistance at one of our other highlighted potential resistance levels of 1214 before turning lower again.

This is a bearish development, demonstrating the weakness inherent in the gold market at the moment and suggesting that a retest of support at 1182 now seems likely.  A break below 1175 would suggest another test of 1160 and if this level were to fail, a return to the low 1100s would be likely in the short term.

At present, the price still remains well below all of the major moving averages, which are all pointed sharply lower.  The 50 day Moving Average is currently at 1225 and will provide initial resistance, together with the 200 day Moving Average at 1290 and the 89 day Moving Average at 1256.

We have stated several times in our previous reports that support for equities remains strong and we expected new all time highs later this year.  This week, the Dow has made yet another new all time highs, breaking above 26,000 for the first time, as has the S&P 500 hitting the 2,900 level for the first time ever.

The Dow is currently at 26,050, just below the new all time high of 26,167, with the S&P 500 currently at 2,907, just shy of the new all time high of 2,916 hit yesterday.

Oil is continuing to bounce hard after a correction to the recent strong rally and is currently trading around $70 a barrel.

Support can be found at 1195, 1182, 1172, 1160, 1145, 1122, 1100, 1072 and 1045.  The recent sell off is bearish for gold in the long term timeframe and suggests a move towards the 2015 lows at 1045 is becoming more likely.

Short term resistance can be found at 1207, 1214, 1218, 1233, 1265, 1273, 1278, 1284, 1292, 1302 and 1310.  Gold needs to break the key resistance level at 1360 to give the bulls some momentum and long term control.

LONG TERM TREND                            BEARISH
INTERMEDIATE TERM TREND              NEUTRAL
SHORT TERM TREND                          BEARISH
VERY SHORT TERM TREND                 BULLISH

In our last update, we commented that gold appeared to have finally found some short term support at the 2017 down trend line at 1160.  Since making a low on 16 August, gold has rebounded sharply and is currently testing the 1200 level.  We suspect the rebound has some legs left, with 1220 and the 50 day Moving Average at 1233 potential target levels.

A break below 1175 would suggest another test of 1160 and if this level were to fail, a return to the low 1100s would be likely in the short term.

At present, the price still remains well below all of the major moving averages, which are all pointed sharply lower.  The 50 day Moving Average is currently at 1233 and will provide resistance, together with the 200 day Moving Average at 1292 and the 89 day Moving Average at 1265.

We stated in our previous report, support for equities remains strong and we expect new all time highs later this year.  This week, the Dow has made new all time highs, as has the S&P 500.
The Dow is currently at 25,795, just below the new all time high, with the S&P 500 currently at 2,861, just shy of new all time highs hit yesterday.

Oil is bouncing hard after a correction to the recent strong rally and is currently trading around $67 a barrel.

Support can be found at 1187, 1175, 1160, 1145, 1122, 1100, 1072 and 1045.  The recent sell off is bearish for gold in the long term timeframe and suggests a move towards the 2015 lows at 1045 is becoming more likely.

Short term resistance can be found at 1204, 1214, 1218, 1233, 1265, 1273, 1278, 1284, 1292, 1302 and 1310.  Gold needs to break the key resistance level at 1360 to give the bulls some momentum and long term control.

LONG TERM TREND                   BEARISH
INTERMEDIATE TERM TREND     NEUTRAL
SHORT TERM TREND                 BEARISH
VERY SHORT TERM TREND        BEARISH

Gold has been under severe selling pressure for the past few months, with a series of lower highs since April and a rapidly declining price profile since July, however we appear to have finally found some short term support at the 2017 down trend line at 1160.  If this support level gives way, the bears will be looking to take the price of gold back down to the low 1100s and ultimately challenge the bear market lows at 1045 made in December 2015.

In our last update, we stated that the break of the 200 day Moving Average suggested a test of 1204 – in fact, this level provided scant support and quickly gave way, with a sharp decline to 1160 following within a few days.  The price remains well below all of the major moving averages, which are all pointed sharply lower.

In our last update we stated that we felt that 1200 was more likely than 1300 in the short term and that has also proved correct.  The 50 day Moving Average is currently at 1241 and will provide resistance, together with the 200 day Moving Average at 1294 and the 89 day Moving Average at 1272.

Equities remain in the corrective triangle pattern that we highlighted in our previous report, though have moved to the top edge of the triangle and are testing the trendline for a breakout.  As we stated in our previous report, support remains strong and we expect new all time highs later this year.

The Dow is currently at 25,415, some 1,220 points off the all time high, with the S&P 500 currently at 2,840, just 35 points off the January highs.

After hitting a peak of $74 two weeks ago, oil is correcting after a strong rally, however the uptrend remains intact.

Support can be found at 1160, 1145, 1122, 1100, 1072 and 1045.  The recent sell off is bearish for gold in the long term timeframe and suggests a move towards the 2015 lows at 1045 is becoming more likely.

Short term resistance can be found at 1194, 1204, 1212, 1218, 1236, 1266, 1273, 1278, 1284, 1292, 1302 and 1310.  Gold needs to break the key resistance level at 1360 to give the bulls some momentum and long term control.