The first day of a new quarter has seen gold build on the gains from late Friday when gold rallied sharply on short covering to form a "bullish engulfing" candlestick on the daily chart.
The rally from a low of 1180 after a sustained week of selling may mark the bottom for this decline, though there is a good chance of a retest of the lows later this week or next before the rally can begin in earnest.
Our long term target of 1156 is still a distinct possibility eventually, though the market is overdue a recovery rally and we may see prices rise for the next week or so from here.
Equities are moving higher with oil today whilst the dollar is weaker in early trading, however the recent rally in the dollar suggests a move back up to the 84-84.5 area is likely in the near term.
Today's video for subscribers looks at Friday's price action in more detail and our strategy for our next trade.
The rally from a low of 1180 after a sustained week of selling may mark the bottom for this decline, though there is a good chance of a retest of the lows later this week or next before the rally can begin in earnest.
Our long term target of 1156 is still a distinct possibility eventually, though the market is overdue a recovery rally and we may see prices rise for the next week or so from here.
Equities are moving higher with oil today whilst the dollar is weaker in early trading, however the recent rally in the dollar suggests a move back up to the 84-84.5 area is likely in the near term.
Today's video for subscribers looks at Friday's price action in more detail and our strategy for our next trade.